China’s solar industry suffering from oversupply

Financial Times : According to the deputy director of the energy research institute of China’s National Development and Reform Commission, at least half of China’s solar panel production capacity will have to shut down. Li Junfeng says that it was the expansion of the industry, not US trade tariffs, that brought about the crisis. Because global demand for solar panels has dropped 30% this year, many Chinese companies have already begun cutting back on their production, and some have received support from local governments. Li says that the central government will not participate in such bailouts, and expects the period of consolidation to take one to two years.