JinkoSolar, the world's largest solar panel producer by shipments, said its planned factory in Saudi Arabia, which will be the world's biggest manufacturing plant for N-type solar cells and modules, is expected to become operational in early 2026 and help produce solar cells with record efficiency.

It will be the company's fourth overseas unit after the ones in Malaysia, Vietnam and the United States and will enable JinkoSolar to not only meet local demand, but also export technology, patents, experiences and services globally, said Qian Jing, vice-president of JinkoSolar.

"The Saudi Arabian market enjoys better credit, sufficient financing resources, stable conditions, policy support ... and has become one of the fastest-growing regions for new energy development in the Middle East," she said. "Its robust industrial foundation makes it an excellent choice for Chinese photovoltaic companies looking to expand overseas."

The company announced plans to build the largest overseas manufacturing plant for N-type solar cells and modules in July, partnering with Saudi Arabia's Public Investment Fund. N-type solar cells feature higher efficiency and stability and reduced degradation.

With an investment of around $1 billion, the facility, JinkoSolar's most significant overseas investment to date, is expected to have an annual production capacity of 10 gigawatts for high-efficiency solar cells and modules once operational, and will be the largest manufacturing base for Chinese photovoltaic products abroad, the company said.

JinkoSolar has already established a strong presence in Saudi Arabia with a 70 percent market share, said Qian.

Li Xiande, chairman of JinkoSolar, said the collaboration with Saudi Arabia marks a significant milestone in the company's global expansion efforts. The partnership will further enable JinkoSolar to optimize its global manufacturing and marketing infrastructure, thereby boosting its global competitiveness.

The new venture not only underscores JinkoSolar's commitment to global growth, but also highlights the strategic importance of the Middle East as a key market for renewable energy, said Nicholas Lua, an analyst specializing in the solar supply chain at global consultancy Rystad Energy.

Such projects will leverage the strengths and resources of both countries, serving as a model for international cooperation in combating climate change, Lua said.

"These gigawatt-scale announcements have the potential to significantly boost domestic solar manufacturing in Saudi Arabia, allowing the country to harness the Middle East's exceptional solar energy potential of over 2,000 kilowatt-hours per square meter annually in solar irradiation," he said.

Solar manufacturing in Saudi Arabia and other Middle Eastern countries could further enhance the global presence of Chinese solar companies, Lua added.

According to Qian, with the phasing out of low-end capacity in China, the company is confident that its market share will increase to 20 percent in 2024 from 15 percent last year, further solidifying its position both domestically and internationally.

Although the current cost of solar power has dropped below that of coal-fired power, solar energy will only become fully competitive when the combined cost of solar and energy storage matches that of coal-fired electricity, she said.

JinkoSolar aims to become the world's leading energy storage company within the next three to five years.