For the past year we have heard rumors that the Chinese government would select or otherwise designate solar companies that it approved. It was unclear exactly what form this selection would take and what the implications would be. Much of that was answered recently when the Chinese Ministry of Industry and Information Technology released its list of 134 solar photovoltaic manufacturing companies that would be eligible to receive government credit support from financial institutions.
In a country with more than 500 solar PV equipment manufacturers, the list means that nearly 75% of the current companies did not make the list. Those not making the list may not be able to obtain inexpensive government-backed financing which had been available and will likely find it difficult to find buyers in the explosively expanding Chinese domestic market. This list is expected to drive consolidation in the manufacturing industry in China and the number of manufacturers will likely shrink drastically.
As it relates to the U.S. market, the current major suppliers made the list, including, among others:
- Yingli
- Canadian Solar
- GCL
- JA Solar
- Jinko
- Suntech Power
- ReneSola
- Trina
