For the latest news on U.S.- and Hong Kong-traded Chinese stocks, visit our new Bamboo Works site.
Tag Archives: Canadian Solar
Canadian Solar latest Business & Financial news from Doug Young, the Expert on Chinese High Tech Market, (former Journalist and Chief editor at Reuters)
Bottom line: Complaints of problems from a major solar plant builder reflect the difficulty of new construction in China, and could wreak havoc on the sales and finances of panel makers and their construction partners.
Solar entrepreneur Shi complains of bureaucracy
Two solar energy news items are showing both the attraction and also the frustration that developers are feeling as they try to build new clean-energy power plants to help China wean itself from its dependence on fossil fuels. On the attraction side of the story, the industry has just won a major new backer in the form of insurance giant Ping An (HKEx: 2318; Shanghai: 601318), which is teaming up with panel maker Trina Solar (NYSE: TSL) in a new plant-building initiative.
But the frustrations that many plant builders are feeling were on prominent display in a separate report that cited another major developer complaining of the difficulties of new construction. Those kinds of complaints aren’t really new, and are being caused by provincial government interference and other local issues in the many remote locations where new plants are being built. Read Full Post…
The following press releases and media reports about Chinese companies were carried on February 4. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════
Bottom line: Emerging details are giving more credibility to LeTV’s new electric car initiative, while solar shares look oversold on plunging oil prices and should rebound later this year.
LeTV soars on new EV details
Mixed signals are coming from China’s green energy sector, where a newly turbocharged LeTV (Shenzhen: 300104) is getting a lift on details about its new electric car initiative that includes ties to a technology supplier of US superstar Tesla (Nasdaq: TSLA). But solar panel makers are moving in the opposite direction, with shares of several reaching or approaching all-time lows over concerns that demand will plummet due to low oi prices. I seldom give direct stock buying advice, but in this case I honestly don’t understand the reasons for this sudden plunge and would strongly consider buying some of these shares that seem quite undervalued right now. Read Full Post…
Bottom line: The recent plunge in solar stocks is the result of panic selling due to falling oil prices, meaning the shares could rebound sharply once the sell-off subsides.
Falling oil prices cast cloud over solar stocks
US investors were showing signs of new energy indigestion in the shortened trading day after Thanksgiving, dumping stocks of all the major solar panel makers in a messy post-holiday sell-off. With no major news from any of the companies, the driving force behind the sell-off appears to be the recent plunge in oil prices, which hit new 4 years lows late last week after OPEC declined to cut its daily output quotas.
Investors appear to be worrying that falling oil prices will dampen enthusiasm for building new solar plants, since lower oil prices mean solar power will be less competitive with more traditional power sources derived from fossil fuels. The only problem with that logic is that solar power was never competitive with fossil fuels to begin with, meaning solar stocks could be getting punished for no good reason. Read Full Post…
Bottom line: Sputtering progress for China’s solar power build-up could erode domestic panel makers’ performance, prompting some to buy more overseas assets to avoid punitive trade barriers in the west.
ChemChina unit buys REC Solar
The latest trouble signs in China’s ambitious solar power build-up are coming in newly released quarterly results from Trina (NYSE: TSL), which has reduced its annual sales targets after scrapping one of its planned new projects in the country. At the same time, China’s industry continues to look for ways to circumvent anti-dumping tariffs in the west by setting up off-shore production and purchasing foreign assets to avoid such penalties. In the latest move on that front, a unit of China National Chemical Corp, also known as ChemChina, has just announced its purchase of a major panel producer in Norway for about $640 million. Read Full Post…
The following press releases and media reports about Chinese companies were carried on November 13. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════
KKR, Citic (HKEx: 267) In $1.5 Bln Bid For United Envirotech (Singapore: UNIT) (English article)
Lofty targets contained in a new report show that China intends to push ahead with ambitious plans to build up its renewable energy sector. But perhaps the most interesting thing about this new report is word that Beijing finally intends to sharply reduce the inflated state-set fees now paid for solar and wind-produced power, in one of the sharpest indicators that it expects the industry to stop depending on government support and become commercially viable on its own. Such state support through a wide array of measures, which also include export credits and low-interest loans, have become a huge sticking point that has led to a series of trade wars between China and the west. Read Full Post…
The solar power sector has become a highly volatile place these days, with company stocks rallying one week on upbeat news, only to tumble days later on more downbeat signals. Much of the volatility owes to 2 factors that have created big uncertainty: protectionism and doubts about funding for many new power plants now being announced. Both of those factors are at play in a new string of downbeat news on industry lead Canadian Solar (Nasdaq: CSIQ), as well as struggling Chaori Solar (Shenzhen: 002506) and the now defunct former superstar Suntech. Read Full Post…
The following press releases and media reports about Chinese companies were carried on October 8. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════
China’s CIC, AVIC End Talks To Acquire Aircraft Leaser Avolon: Sources (English article)
Hilton (NYSE: HLT) Sells NY’s Waldorf Astoria to Anbang Insurance For $1.95 Bln (Businesswire)
Canadian Solar (Nasdaq: CSIQ) Gives Update On Japanese Utility-Scale Pipeline (PRNewswire)
Qihoo 360 (NYSE: QIHU) Announces $200 Mln Share Repurchase Plan (PRNewswire)
The Rent-A-Car Of China: eHi Car Services Files For $100 Mln US IPO (English article)
Just months after tapping financial markets for nearly $250 million, solar panel maker Trina (NYSE: TSL) has just announced another plan to raise a similar amount as it tries to take advantage of improving sentiment towards its sector. Such fund-raising would have been unthinkable as recently as a year ago, when recovery of the solar panel sector was far from certain following a prolonged downturn. In a relatively positive sign, Trina’s latest fund-raising plan didn’t trigger a major sell-off in its shares, indicating investors are more confident of the company’s and the sector’s future prospects. Read Full Post…
Regular readers will know I’m a bit bearish lately on the solar panel manufacturing sector, largely because I believe its recent rebound is being fueled as much by hype as real business after a prolonged downturn. A new report on some of the sector’s so called “growth engines”, coupled with a separate report on a dispute at one of the top surviving players, are adding fuel to my skepticism that the sector’s recent sharp rebound isn’t really happening. At the very least, the recent reports indicate the rebound isn’t nearly as strong as many are claiming, and solar panel makers and their shares could soon be set for far slower growth than many were hoping for. Read Full Post…
