November 3, 2011. Low demand in key solar markets and oversupply will result in slower-than-expected ramp of photovoltaic (PV) products' manufacturing capacity until the first half of 2012, IMS Research said. Solar subsidy cuts in Germany and Italy earlier this year triggered a global glut of solar panels and drove down prices sharply, denting profits and stock prices at leading solar manufacturers. Wafer, cell and module production capacity will expand by less than 10 percent in 2012 because of the glut and uncertain demand in major European markets, the research firm said. PV module capacity is expected to increase by 6 percent in the first half of 2012, while it grew almost five times that amount a year ago.