China solar sector told to cut costs, boost quality

Bloomberg

China’s solar power sector should strive to cut costs and improve quality, said a top industry group seeking to restore confidence in the world’s largest market as recent policy moves in Beijing straddle producers with shrinking demand and tumbling prices.
The industry is moving away from rapid capacity expansions and suppliers should not expect sector to grow every year, Wang Bohua, secretary general of China Photovoltaic Industry Association, said at a conference. Even with installations slowing by possibly 34% this year to 35GW, China’s solar market is still big, he said.
President Xi Jinping’s government announced a surprise decision less than two months ago to halt some new solar plant approvals this year and curb financial aid to developers after record installations in 2017. The clampdown has reverberated around the world, prompting a slew of bearish outlooks from analysts, many of whom have flagged the likelihood for a widening global glut and weaker prices.