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U.S. Imposes Tariffs:Chinese PV Companies Have Turned To Emerging Markets

Apr 10, 2018

With the recent escalation of trade disputes between China and the United States, coupled with the rapid decision by the United States to impose a 30% tariff incident on photovoltaic panels at the beginning of the year, China's photovoltaic companies will inevitably feel that the prospects are unclear and they have already begun to actively or passively "changeover." Emerging Markets. After Europe, for China's PV companies, the United States seems to be gradually becoming "not so important."

 

According to the "2016 Photovoltaic Industry Operations in China" issued by the Ministry of Industry and Information Technology, China's photovoltaic industry's exports to the United States decreased by 24.8% year-on-year; however, exports to Malaysia increased by 132.3% year-on-year; exports to Brazil increased by 832.1% year-on-year.

 

Taking China Jingke Energy as an example, as the largest company in the photovoltaic panel field to grasp the global share of 10%, it responded fairly quickly. It is reported that although data obtained from the current analysis shows that about 20% of JingkeSolar’s shipments are Exported to the United States, but with the opportunity to infiltrate photovoltaic power generation to Southeast Asia, the Middle East, and Africa, Jingke Energy's development focus is gradually tilting toward emerging market countries, and plans to produce 13.5 million kilowatts of photovoltaic panels for these emerging markets in 2018. In 2017, it will increase by 30%. For this company, in the future, the United States will also be "just one of the buyers."

 

At the same time, the rise of the Japanese market has effectively filled the United States' "blank." The purpose of the “Special Measures for Renewable Energy Measures” implemented in Japan since April 2017 is mainly to adjust the fixed energy purchase system (FIT) for renewable energy. According to reports, this system will prompt Japan to face large-scale photovoltaic power stations. With the increase in the demand for low-price panels and the advantage of China being geographically close to Japan, the Japanese market is worth the expectation of Chinese PV companies, especially China's large-scale photovoltaic panel companies.


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