The Solar Energy Industry Are Facing Merger

Recently, After Evergreen Solar, Spectra Watt, Solyndra the three solar plants in the United States declared bankruptcy one after another, Germany’s largest Solar module manufacturer Solar World also announced it would close part of the production lines in order to confront with China subsidies policy and reduce the production cost, and Taiwan manufacturer also face the pressure of competition from Chinese manufacturers, in addition to the consistent oversupply in the industry, the Taiwan manufacturers which suffered a lot in the first quarter are one disaster after another in the second half year. It is expected that this kind of phenomenon will be continued, and the industry continues to face the whole merger and acquisition after all.

The Chinese government subsidies policy to the solar energy industry made Chinese factory have the advantages of enough solar energy fund and low cost in price competition, solar cell price this year has declined 42%, Taiwan solar plant affected by global weakness in the second quarter of this year, the industry market plunged. Taiwan factories change their earning prospect in the second quarter.

And Europe and the United States solar energy giant fell into the competition with China solar energy subsidies, Taiwan factory also faced the pressure of price competition from China solar energy factory, in the situation of oversupply solar market demand, Taiwan factories are facing downward price pressure, and having no cost advantage, although Taiwan factory thought that the demand has presented the recovery situation, but the price drop pressure is still the key to influence profit.