On July 28, 2026, Chinese media Yicai reported on the current situation of China's solar power industry, which has fallen into a massive deficit from January to June this year, and the efforts to overcome it.

The article explained that 22 of the 26 listed companies that disclosed performance forecasts from January to June 2026 fell into the red, with the total deficit amounting to 18.3 billion to 21.4 billion yuan (approximately 440 billion to 510 billion yen), indicating that the entire solar power industry is facing serious management difficulties. It also pointed out that in all four stages of the supply chain—silicon raw materials, silicon wafers, cells, and modules—excessive low-price competition has become the norm, with selling prices falling below manufacturing costs.

Furthermore, it introduced that the group standard "General Rules for Photovoltaic Industry Cost Calculation Model," covering the entire supply chain of the solar power industry, was recently announced. It reported that a unified pricing standard for the industry has been established.

Regarding the background of its establishment, it explained that until now, cost calculation standards varied among companies, making it difficult to identify and regulate illegal dumping and sales below cost. The "General Rules" make it possible to convert abstract cost concepts into practical calculation methods, and it explains that administrative guidance and "disqualification judgment for sales below cost" in bidding processes have become possible.

The article introduced that with the addition of the "Cost" standard, which defines price rationality, to the already established "Energy Consumption" standard, which defines production conditions, and the "Safety" standard, which ensures quality, the three standard systems for industry regulation have been completed. Industry experts, including Liu Yiyang, Executive Secretary-General of the China Photovoltaic Industry Association, expressed the view that the introduction of the new unified standards would correct unfair price competition and lead to practical effects for market normalization, the article reported. (Edited/Translated by Kawajiri)