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In the past year, China's photovoltaic industry suffered an unprecedented blow, and the industry development stalled. After suntech went bankrupt in wuxi, the domestic industry began to integrate.
By the end of 2012, the average price of the system invested in large ground power stations in China is us $1.50 to us $1.80 per watt, and the KWH cost of photovoltaic power generation has been continuously reduced. In areas rich in light resources, the KWH cost of large photovoltaic ground power stations in 2012 was nearly 0.6 yuan/KWH.
China is now the world's photovoltaic manufacturing center. In 2012, China's polysilicon production capacity was 158,000 MT, accounting for 43% of the global total, and 69,000 MT, accounting for 32% of the global total. Photovoltaic module production capacity is 37GW, accounting for 51% of the world's total, and production capacity is 22GW, accounting for 54% of the world's total. Throughout the whole year of 2012, the industry integration led to a 25% decline in component manufacturing capacity compared with 2011, from 49GW to 37GW, a 25% decline. However, from the perspective of domestic and global supply and demand relations, the oversupply situation is difficult to change in the short term. According to the forecast, 70% of enterprises will withdraw from the photovoltaic market this year, and the photovoltaic industry will undergo comprehensive integration.
In addition, China's polysilicon industry is also affected. Sources said that in 2012, the production of polysilicon in China showed negative growth, with the number of discontinued enterprises approaching 90%. China's annual production of 65,000 tonnes of polysilicon will remain the world's largest, but down about 20 per cent from last year. The picture is even less rosy for individual firms, where nearly 90% have stopped making polysilicon, and capacity utilization has fallen sharply for those struggling to keep up.