More than 40 small and medium-sized photovoltaic companies in Zhejiang welcome the closure of the tide

In the Langsha IV industrial park of Yiwu City, Zhejiang, the three plants that Langsha Group has allocated exclusively for photovoltaic production are still vacant. According to earlier plans, their equipment should have been installed.

Zhou Shaqiang, the director of the Langsha New Energy Department, confirmed that they had experienced a reversal of the market situation when ordering equipment, and Langsha遂 decided to slow down the speed of photovoltaic projects.

In September, a message quietly circulated in the photovoltaic industry: Given the spread of the European debt crisis and the reduction of subsidies by photovoltaic giants such as Germany and Italy, in the past few months, there have been more than 50 solar companies in the country. One of the companies is in a semi-discontinued state. As a corroboration, PV companies such as Suntech, JA Solar, Zhongdian PV, and LDK Solar, which were listed in the United States, suffered losses in the second quarter.

“At least in Zhejiang, there has been no closure, but generally new businesses have come in. Now we have chosen to wait and see. There is no start-up.” On September 28, Shen Fuxin, secretary general of the Zhejiang Solar Energy Industry Association, corrected this, similar to the order of large enterprises such as Zhejiang Zhengtai. Still good, "but SMEs are indeed more difficult."

Shen Fuxin told reporters at the same time that in order to cope with the crisis, Zhejiang will be a horizontal group of companies to form a large group, "similar to a joint-stock company," and this "baby" will be born in October.

A company's two-year photovoltaic history can only be a shrinking scale, reducing production and staffing, and preparing for the winter.

As a native of Taizhou, Zhejiang, Sun You (a pseudonym) joined several Zhejiang fellows in 2009 and jointly invested nearly 200 million yuan to establish a component company in Haining, Zhejiang.

"The company is currently focusing on domestic orders, the international can not do it." With 30 million yuan investment, Sun You ranked second largest shareholder, "but now the production line stopped half, a loss of nearly 20 million."

After the financial crisis, the world PV market grew rapidly in 2010. The installed capacity of the world’s two largest photovoltaic installation countries, Germany and Italy, doubled and the market size reached approximately US$60 billion, which contributed to the investment in the PV industry. . Sun You said that in 2010, when he earned enough money, the company invested nearly 200 million yuan. He went into production in March 2010 and had an annual gross profit of more than 10 million. "But I didn't expect the market to change so much in 2011."

After undergoing a doubling of PV installations in 2010, Germany and Italy have reduced their installations and subsidies in 2011. Taking Germany as an example, except for the increase in installations in January compared with 2010, the installations in the months from August to August all dropped year-on-year.

At the recent PV exhibition in Hamburg, Germany, individual component manufacturers in China reported a very low price of 0.68 euros/watt, while another vendor in Jiangxi offered a price of 0.69 euros/watt, and selling components became selling cabbage.

A person close to CSI Artis confirmed that the company’s bosses have basically stayed in Europe and the United States recently. “The more sluggish the market, the more it takes orders.”

“Dachang has the advantage of scale, and has accumulated many years of branding. Both small and medium-sized enterprises compete better.” Sun Yu confirmed that its component cost is around 0.73 euros/Watt, which is already doing relatively well in the industry, which is lower than this price. Loss.

Sun You also said that in the past two years, domestic companies have flooded into the photovoltaic industry, such as crossing the river, such as Haining, only 14 photovoltaic companies in 2010, but this year has more than 40, "competitive pressure increased sharply, the product price will follow The downward adjustment is to reduce the profit margin."

Solarbuzz's latest quarterly report shows that excess capacity still seriously affects the sales price of PV modules. The ex-factory price of the module has dropped 33% from the same period of last year and is expected to continue to decline by 18% in the fourth quarter of this year.

“This year may be a colder winter than the financial crisis.” Sun Yukuang smiled. Apart from falling orders, the bank also had to pay off high interest rates. “It can only be a contraction of scale, a reduction in output, and preparation for the winter.”

40 Zhejiang enterprises Baotuan Zhejiang will form a coalition of large companies and small enterprises. The data of the joint venture company shows that there are more than 500 PV companies with 50MW capacity in the country and more than 300 PV companies with 100MW capacity.

An executive of GCL-Poly revealed to reporters that the total amount of domestic imported polysilicon had exceeded 6,000 tons in August, which was more than 1,000 tons more than in June and July, but the downstream consumption has not changed. “This shows that some polysilicon companies have already Reduced production."

It is important that important PV companies are still expanding their production. Suntech plans to raise the production capacity of its battery modules from 1.2GW in 2010 to 2.4GW in 2011. The JA Solar Group plans to increase the production capacity of its solar cells to 3GW this year, which is much higher than the 1.9GW in 2010.

In contrast, in 2011, although the domestic PV market expanded compared with 2010, the scale is only around 1.5 GW, and only Suntech's family can supply it.

“Some current component companies will lose money as soon as they start construction. In the next year or two, it will be the collapse of small and medium-sized PV companies. Only companies with production capacities exceeding 500MW or even 1GW can survive.” Reporter said.

Taking Zhejiang as an example, there are currently about 205 photovoltaic companies, of which about 110 are established after September 2010, and the scale is below 100MW, and the future will be even more difficult.

"Because of the excessively rapid development of the photovoltaic industry, the current production capacity is already in excess." Shen Fuxin said that in the next two to three years, the photovoltaic industry in Zhejiang and even in China will have a reshuffle in the industry. More than 30% of PV companies are especially small. Enterprises face the fate of being eliminated.

Shen Fuxin stated that in order to enhance the ability of enterprises to fight against the economic crisis, with the association’s central coordination, Zhejiang will form a coalition of large brand companies into small businesses to form a joint venture company. “At present, there are about forty companies joining”. Forms respond to market crisis and promote the growth of the photovoltaic industry in Zhejiang.