Solar Photovoltaic (PV) Market Size, Share, Growth Trends & Forecast 2026–2035

Solar Photovoltaic (PV) Market Report 2026–2035

Market Overview

The global solar photovoltaic (PV) market was valued at around USD 323.8 billion in 2025 and is projected to reach nearly USD 695.8 billion by 2035, growing at a steady CAGR of about 8.5% during the forecast period. Growth is driven by strong government support for clean energy, falling solar installation costs, rising electricity demand, and global net-zero commitments.

Solar PV converts sunlight directly into electricity using semiconductor-based panels. Compared to fossil fuels, solar power offers clean, low-cost, and scalable electricity generation. From rooftops to massive solar parks and even floating and agrivoltaic systems, solar PV is becoming the backbone of the global energy transition.

Key Market Statistics

• Market Size 2025: USD 323.8 Billion
• Market Size 2026: USD 345 Billion
• Forecast 2035: USD 695.8 Billion
• CAGR (2026–2035): 8.5%
• Largest Region: Asia Pacific
• Fastest Growing Region: Latin America

Industry Dynamics

Growth Drivers

• Strong government targets for clean and renewable electricity
• Net-zero and decarbonization commitments by countries and corporations
• Declining solar module and installation costs
• Rapid growth of electricity demand in emerging economies
• Supportive policies: subsidies, tax credits, feed-in tariffs, and net-metering

Market Restraints

• High upfront investment despite falling costs
• Longer payback period in some regions (5–10 years)
• Grid integration and intermittency challenges

Opportunities

• Government tenders and large-scale solar auctions
• Growth of rooftop and community solar projects
• Rising demand for backup and distributed power systems
• Integration of storage, smart inverters, and digital monitoring

Solar PV Market Trends

New technologies such as bifacial panels, TOPCon and heterojunction cells, and thin-film modules are increasing efficiency and reducing degradation. In 2024, new high-power modules crossed 700W in utility-scale projects. Floating solar and agrivoltaics are expanding in land-scarce regions. AI-based monitoring systems are optimizing energy output, fault detection, and maintenance scheduling.

Market Segmentation

By Connectivity

• On-Grid: Dominates the market, driven by utility-scale projects and grid-connected rooftops. Expected to cross USD 660+ billion by 2035.
• Off-Grid: Growing faster (CAGR 12%) due to rural electrification, mini-grids, and remote-area power needs.

By Mounting Type

• Ground Mounted: Holds 58% share in 2025, driven by utility-scale and agrivoltaic projects.
• Rooftop: Growing at 8%+ CAGR due to residential, commercial, and community solar projects.

By End Use

• Residential
• Commercial & Industrial (C&I)
• Utility Scale

Applications of Solar Photovoltaic

• Residential rooftop power generation
• Commercial buildings and factories
• Utility-scale solar power plants
• Agrivoltaics (solar + agriculture)
• Floating solar systems
• Remote and off-grid electrification
• Telecom towers and rural infrastructure
• Solar + storage hybrid systems

Regional Analysis

Asia Pacific

Asia Pacific dominates the global market, driven by China, India, Japan, South Korea, and Australia. Strong government programs, falling costs, and massive electricity demand support growth. India is rapidly expanding under national solar missions, while China leads global manufacturing and installations.

North America

The U.S. market crossed USD 30 billion in 2025. Growth is driven by solar-plus-storage projects, corporate renewable procurement, and supportive policies like tax credits and domestic manufacturing incentives.

Europe

Europe is expected to exceed USD 130 billion by 2035, supported by climate policies, green energy targets, and strong corporate demand for renewable electricity.

Middle East & Africa

Strong solar radiation and competitive auctions in Saudi Arabia, UAE, and Egypt are creating some of the world’s lowest solar tariffs. Africa is growing through electrification and grid expansion programs.

Latin America

Brazil, Chile, Mexico, and Colombia lead installations through auctions and long-term PPAs, driven by mining, industrial, and utility demand.

Competitive Landscape

The solar PV market is highly competitive and partially consolidated. The top five companies account for nearly 65% of global shipments. Key strategies include capacity expansion, vertical integration, next-generation cell technology, and regional manufacturing.

Key Players

• LONGi Green Energy
• Jinko Solar
• Trina Solar
• JA Solar
• Canadian Solar
• First Solar
• Q CELLS
• Vikram Solar
• REC Solar
• Risen Energy

Company Insights

LONGi: Global leader with strong n-type and TOPCon technology and large manufacturing scale.
First Solar: Thin-film leader, strong in U.S. and domestic manufacturing programs.
Trina Solar: Known for ultra-high-power modules and global presence.
Vikram Solar: Strong Indian manufacturer aligned with government manufacturing incentives.

Recent Developments

• Dec 2025: Tunisia approved multiple solar PV concessions totaling 500 MW across regions.
• Sep 2025: SECI launched 300 MW solar PV project in Andhra Pradesh, India.
• Dec 2024: Juniper Green Energy signed 1 GW module supply deal with First Solar in India.
• Oct 2024: Trina Solar supplied over 1 GW of 720W modules to China’s Jinsha River project.

Future Outlook

The solar PV market will remain one of the fastest-growing energy technologies globally. Falling costs, strong policies, energy storage integration, and smart grid technologies will make solar the core of both centralized and distributed power systems. By 2035, solar PV will be a dominant source of new electricity generation worldwide.