What happened to solar panels in China?

Solar companies cut costs and prices sharply to maintain market share. That led to a few low-cost survivors while many other competitors were driven out of business in China and around the world. The deserted blue-walled factory of Hunan Sunzone, left, which once made solar panels in Changsha, China.

Why are solar companies struggling in China?

Many of China’s provinces are struggling to service their debts. Solar companies must also compete for government largesse with firms in other industries that are grappling with overcapacity as China’s economy slows. More than a fifth of Chinese industrial firms were unprofitable last year, according to analysis by Rhodium, another consultancy.

How to maintain solar panels in China?

The authorities could explore implementing the manual method of maintaining PV panels in China, where human resources are very inexpensive. PV panels must be cleaned three times per week and washed once per month in the locations surveyed to retain their effectiveness.

Will China's crowded solar power sector keep global prices low?

Consolidation in China's crowded solar power sector is pushing smaller players out of the market, but excess production capacity - with more on the way - threatens to keep global prices low for years.

Is China's solar industry overcapacity a problem?

Overcapacity in China's solar industry is emblematic of the challenges facing the world's second-biggest economy. High levels of state-guided industrial investment and low levels of household consumption mean many sectors produce more than the domestic market can absorb.

How will import bans affect the solar panel industry?

Import bans would significantly impact the solar panel industry because two-thirds of the world’s polysilicon market is controlled by five companies in Mainland China and Hong Kong by 2021. The industry lacks diversity in its supply chain.