China replaces the US with solar control

Not the United States but China has taken the lead in the field of green energy technology, especially the fuel from the sun right on US territory.

>>>Solar energy pollutes in China

China's solar companies are emerging as the dominant force of the industry after the collapse of foreign competitors. However, these emerging market leaders are facing and struggling with low prices and excess capacity and power.

As reported at an international conference, China took advantage of the cheap and state-supported workforce to create a completely new solar industry from scratch. for over a decade. This is part of a broad strategy to divert, improve production value and gradually implement the ambition to dominate the energy market.

China, the second largest oil consumer in the world, and fossil fuels, causing environmental pollution accounts for 90% of the country's total energy use, but China is also preparing to making great strides in the field of clean energy.

Trina Solar Limited became the second solar battery manufacturer in China to remain firm after the collapse of its overseas competitors. (Source: physorg.com)

Analysts say that Chinese companies now hold 70% of the global development market in the area of ​​solar panels production, thanks to competitive prices and the collapse of three. big rival two months ago.

"China's position is definitely improving and rising this year," said Tang Xiaodong, an analyst with investment consulting firm CEBM, Shanghai.

"Lower costs and prices are the direction, the main direction of the industry and the advantages of Chinese companies on this front are increasingly shown clearly," Tang Xiaodong stressed. .

The selling price of a solar panel from China has dropped from 1.7 USD last year to about 1.2 USD / W, and much lower than the global average price of about 2 USD in 2010.

However, the spiraling price reduction process (a gradual price reduction) has hurt the industry's revenue, and Chinese companies themselves have suffered.

"Everyone is facing price declines, increasing inventory and the predicament of the economy," an unnamed official from Yingli GreenEnergy, one of the giants of the Energy Group. , large-scale Chinese said.

Critics argue that Chinese companies have an unfair advantage in access to cheap capital from Chinese state-owned banks.

However, they are not alone in receiving government support. Recently, Solyndra LLC, a leading manufacturer of solar systems in the Fremont-Bay Area- has applied for bankruptcy, shut down the factory and laid off more than 1,100 employees. In 2009, Solyndra, a major solar energy producer in Silicon Valley, received a US $ 535 million loan guarantee from the government to expand its operations. With the declaration of insolvency of Solyndra, the debt of US $ 535 million became a bad debt.

The Chinese government has proposed many policies to support the wind power industry as producers do not have to pay land rent and the state plans to provide clean electricity throughout the country. This is an important policy in developing clean energy sources. Currently, an average of one new thermal power plant has been put into operation a week in China.

With the right direction, China is gradually rising to occupy the No. 1 position in the solar energy manufacturing industry. (Source: physorg.com)

So, even before the collapse of three major US energy companies, China still won the world's No. 1 position in the solar energy industry with Suntech, the maker of solar panels. China's largest.

Suntech's most significant point is the growing number of Chinese businesses sponsored by Chinese leaders, local governments and military. They all seek opportunities to mobilize capital from the leaders of the nation.

China's commitments on solar energy sources have not changed for global warming. China's fuel consumption is growing faster than other countries regardless of the United States is also the world's largest consumer of fuel.

Suntech was listed on the New York Stock Exchange, opposing criticism by asserting the consolidation of this emerging industry as natural. In a speech on AFP, Suctech representative said, the bankruptcy of a series of solar energy companies over the past time was due to unfortunately. However, the competition between companies and manufacturers is indispensable, essential and important to increase efficiency, improve productivity and development for this industry.

Chinese companies mostly focus on exports, with more than 95% of the company's revenue coming from outside China, according to some estimates, and they have made new moves and policies. to reduce selling prices for solar panels.

However, analysts say the demand for domestic use for solar products is increasing with price support as well as individual company directions, such as cost savings. By building units as close to installation as possible, to reduce shipping costs, cut unit costs by using lighter materials, less moving parts and many other improvements to take Solar energy enters the national grid.