Chinese Solar manufacturers have accumulated a total of $17.5 billion in debt

Chinese Solar manufacturers have accumulated a total of $17.5 billion in debt

August 22, 2012

Chinese solar industry faces weak sales, price war
JOE McDONALD, Associated Press
CNSNEWS

Chinese solar panel makers that grew fast over the past decade are suffering big losses due to slumping global sales and a price war that threaten an industry seen by communist leaders as a role model for hopes to transform China into a technology leader.

Another looming challenge: Moves by the United States and Europe toward imposing possible anti-dumping tariffs on Chinese-made solar panels that might further depress sales.

Financial problems are likely to force painful changes in the Chinese industry including possible mergers, bankruptcies, factory closures or layoffs, industry analysts say.

“The next 1½ years will be very challenging,” said Frank Haugwitz, a renewable energy consultant in Beijing.

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