LG Electronics said it has plans to convert the A1 plasma panel-manufacturing line in Gumi, Korea, into solar cell production lines and also invest KRW220 billion ($154 million) in two more production lines by 2010.

Both lines will manufacture crystalline silicon solar cells and modules with a capacity of 120MW each, said a top company official.

LG expects the first line to start mass production from the first quarter of 2010, with the second line beginning full operations in the first quarter of 2011.

“Leveraging LG’s cumulative R&D knowledge in various photovoltaic technologies for the last three years as well as our mass manufacturing expertise will allow us to quickly become a global player in the solar cell and module manufacturing business,” said Kevin Cha, managing director of LG Electronics Levant.

LG currently operates a solar cell business team under its chief technical officer (CTO). The company has also progressively accumulated research and developement knowledge to further expand its business into the solar energy industry as a new growth engine, he noted.

As a part of this strategy, LG Electronics acquired solar cell business by transfer from its sister company, LG Chem Limited in June 2008.

Industry experts forecast that crystalline silicon solar cells will make up the 80 per cent of solar business, in contrast to thin film solar cells.

Crystal silicon solar cell utilizes silicon wafer, while thin film solar cell coats light absorption layers and electrodes from various materials on a substrate, meaning thin film solar cell is relatively inexpensive but low in efficiency.

Currently, the global solar industry market is valued at more than $10 billion, he added.-TradeArabia News Service