The Vietnamese arm of Trina Solar, a Chinese module and cell manufacturer, has signed a $30 million credit agreement with VietinBank in the province of Bac Giang, Vietnam.
This is the first credit facility provided by VietinBank to a Chinese solar photovoltaic (PV) company. The money will be primarily used to fund and finance the production and operation of Trina solar assets in Vietnam.
“We have witnessed Trina solar plant’s entire development journey from starting construction to going into mass production in Bac Giang. With the favorable new energy policies enacted by the Vietnamese government, we have reasons to believe that Trina Solar will be a great success in Vietnam,” said Tran Minh Bin, executive director of VietinBank.
According to Mercom India Research’s India Solar Market Leaderboard 2018 Report, Trina Solar was the single largest supplier of modules to India in 2017. It accounted for 11 percent of the market share.
Recently, Trina Solar also completed the acquisition of Nclave Renewable, a Spanish solar tracker system manufacturer. This was the first time that a Chinese solar company acquired a solar tracker producer outside of its home market.
Trina Solar Treasury Director Tian Hong added that Trina Solar will continue to increase its investment in Vietnam and extend the partnership with VietinBank to include investment in local downstream power stations and engineering, procurement and construction (EPC) services companies.
Vietnam has become an important destination for investment in renewable energy for companies seeking new markets.
Recently, in a similar deal, JA Solar Vietnam, a wholly-owned subsidiary of Chinese solar manufacturer JA Solar, completed a long-term buyer credit loan agreement for $68.4 million from China Minsheng Bank Corporation Limit.
Siemens, a Germany-based supplier of transmission, distribution and smart grid solutions, recently won a contract with Trung Nam Group to supply equipment to Vietnam’s largest solar park in operation.