Tag Archives: SolarWorld

NEW ENERGY: New Sanctions Ahead As EU Restarts China Solar Probe

Bottom line: The latest EU anti-dumping probe into Chinese solar panels is likely to find that manufacturers violated a previous agreement, which could result in new punitive tariffs by the end of this year.

EU launches new probe into Chinese solar panels

In a move that will surprise to no one, the European Union has formally launched a probe into Chinese solar panel makers who are being accused by European rivals of violating a landmark agreement that averted anti-dumping tariffs. I should really stop using the word “landmark” to describe the 2013 deal between the Chinese panel makers and EU that avoided a trade war. In fact, it’s becoming increasingly obvious that a better word to describe the deal would be “foolish”, since it appears many of the Chinese panel makers never really intended to follow the spirit of the agreement to begin with. Read Full Post…

News Digest: May 30-June 2

The following press releases and media reports about Chinese companies were carried on May 30-June 2. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════

  • IMAX China Files For HK IPO, Betting on Booming Film Demand (English article)
  • Ctrip (Nasdaq: CTRP) Says Outage Due to Staff Error, Not Hack (English article)
  • Solarworld (Frankfurt: SWVK) Gains EU Probes of Possible China Duty Evasion (English article)
  • Alibaba (NYSE: BABA), Yahoo Japan (Tokyo: 4689) To Open Tmall Japan Pavillion (Chinese article)
  • Vipshop (NYSE: VIPS) Comes Under New Short Seller Attack, Shares Drop 6 Pct (Chinese article)

NEW ENERGY: Unraveling Accelerates For EU-China Solar Deal

Bottom line: A deal designed to avoid punitive tariffs on Chinese solar panels exported to Europe is rapidly collapsing, with new anti-dumping tariffs likely to be imposed by the end of the year.

New clouds loom in EU-China solar war

A looming clampdown on Chinese solar panels in Europe is rapidly accelerating, with word that the EU will review part of a landmark 2013 agreement that initially helped to prevent a trade war but is showing rapid signs of unraveling. The case centers on the prices of Chinese solar panels, which are typically much lower than their western counterparts due to a wide array of Beijing policies to support the sector.

The US levied punitive tariffs on Chinese panels to address the situation. The EU was set to do the same when several top politicians stepped in and pushed both sides to reach a compromise deal to avoid such action. That deal saw the Chinese manufacturers agree to raise their prices to levels comparable to products from the west. But no sooner did the deal take effect, then the Chinese companies began undermining the agreement by finding ways to secretly refund money to their European customers. Read Full Post…

NEW ENERGY: Solar Distress Signs At Yingli, In Europe

Bottom line: Yingli appears to be in financial distress but will avoid defaulting on debt obligations coming due next week, while China’s broader solar panel sector is likely to face new anti-dumping tariffs in Europe later this year.

Yingli assures investors on bond payment

The solar panel sector has become quite a turbulent place these days, riding high one day on reports of major new plant construction, only to stumble the next on signs of conflict and financial distress. This kind of conflicting news reflects the fact that the industry is still in the midst of a major overhaul that could ultimately see a few more companies get closed down or purchased, leaving a smaller field of the biggest, best-run players to survive over the longer term.

The latest signs of distress are coming from Yingli Green Energy (NYSE: YGE), one of China’s largest players, which has just announced it has the necessary funds to pay off a bond that will mature next week. Some may see such an announcement as a sign of strength; but the fact that Yingli is taking the unusual step of making an announcement seems aimed at allaying market concerns that it might not make the payment. The other big distress sign is coming from reports that indicate Europe could soon re-launch an anti-dumping probe into Chinese solar panels, following complaints that the Chinese are violating an earlier agreement designed to avoid punitive import tariffs. Read Full Post…

Solar Trade War Flares Up, Trina Drives Consolidation

Solar trade war heats up with new US ruling

As if the solar trade war between the US and China wasn’t bad enough, tensions just got worse with a preliminary ruling in Washington aimed at closing a loophole to a previous ruling imposing anti-dumping tariffs on Chinese solar panels. I’ll admit I was a bit surprised by the preliminary ruling just announced by the US International Trade Commission (ITC), as I’d previously predicted this latest action in the Sino-US solar trade dispute would quickly fizzle. Meantime, industry consolidation is continuing in China, where more than half the world’s solar panels are currently made, with word that Trina (NYSE: TSL) is buying a controlling stake in another smaller rival. Read Full Post…

News Digest: February 15-17

The following press releases and media reports about Chinese companies were carried on February 15-17. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════

  • US To Pursue Trade Dispute Over Chinese, Taiwanese Solar Imports (English article)
  • China’s Wanxiang Wins US Bankruptcy Auction For Fisker Automotive (English article)
  • Vipshop (NYSE: VIPS) Acquires Controlling Interest In Lefeng For $133 Mln (PRNewswire)
  • Tencent’s (HKEx: 700) Guangdiantong Unveils WeChat Public Account Ad Product (English article)
  • Suning (Shenzhen: 002024) Sets Up Transport Services Headquarters (Chinese article)
  • Latest calendar for Q4 earnings reports (Earnings calendar)

US-China Solar Wars Enter Second Round

US opens new probe into Chinese solar panels

Just days after China finalized anti-dumping tariffs on US makers of polysilicon, the main ingredient used to make solar panels, the US has announced it is opening a new anti-dumping investigation into solar panels imported from China. The close timing of this latest round of developments in a solar trade dispute between the US and China may look worrisome on the surface, especially if they had come a year ago. But in this case the solar signals seem less confrontational to me, as both Washington and Beijing finally realize the sector is too important for the world’s energy security to jeopardize with more trade wars. Read Full Post…

Solar Tariffs Round II Begins, Yingli In New JV

Yingli in smart new JV

The new year has just begun, and already we’re getting signals that 2014 will be full of new twists and surprises for the solar panel sector as it struggles to emerge from its downturn dating back nearly 3 years. A clash involving Chinese panel makers accused by western rivals of receiving unfair state support looks set to enter a new phase, based on an announcement of new action in the US by SolarWorld (Frankfurt: SWV), the German panel maker that has led the charge against the Chinese companies. Meantime, a separate new joint venture announcement from Yingli Green Energy (NYSE: YGE) looks smart, and reflects the new reality that China will become a major driver of solar plant construction in 2014. Read Full Post…

News Digest: January 3, 2014

The following press releases and media reports about Chinese companies were carried on January 3. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════════════

  • Ren Zhengfei: Huawei To Gradually Abandon Centralized Management Structure (Chinese article)
  • ZTE (HKEx: 763) Announces Organizational Changes (Businesswire)
  • SolarWorld (Frankfurt: SWV) Petitions US To Close Loophole In China Anti-Dumping Tariffs (Businesswire)
  • Alibaba’s Yu’E Bao Reaches 185.3 Bln Yuan, Gives Yields Of 1.79 Bln Yuan (Chinese article)
  • Yingli (NYSE: YGE) Announces Joint Venture with Datong Coal Mine Group (PRNewswire)

News Digest: July 25, 2012 报摘: 2012年7月25日

The following press releases and media reports about Chinese companies were carried on July 25. To view a full article or story, click on the link next to the headline.

══════════════════════════════════════════════════════

  • SolarWorld (Frankfurt: SWV) Files Anti-Dumping Complaint in EU-Source (English article)
  • Ctrip (Nasdaq: CTRP) Reports Q2 Financial Results (PRNewswire)
  • Regulator OKs Minsheng Bank (HKEx: 1988) A-Share Convertible Bonds (HKEx announcement)
  • Apple’s (Nasdaq: AAPL) Rivals Swoop as iPhone China Sales Flag (English article)

 

Solar Fight Sees Accusations Flying 中美太阳能纠纷引发口水大战

The last few days have seen an overwhelming flood of new chatter in the war of words between Chinese and Western solar cell makers, with China’s commerce ministry also voicing its views on this case that looks set to become a major battleground in the free trade debate. After US solar firms filed a formal anti-dumping complaint in the US last week against their Chinese rivals, China’s commerce ministry quickly and predictably fired back that the complaint was groundless, and warned that any punitive action could result in a damaging trade war that could hurt the global economy. (English article) At the same time, 3 top Chinese players, Suntech (NYSE: STP), Yingli (NYSE: YGE) and Trina (NYSE: TSL), all chimed in with various guarded statements saying it was too early to worry just yet. Meantime, the group leveling the accusations, led by the US arm of German solar cell maker SolarWorld (Frankfurt: SWV), replied to China’s tough talk with its own scathing statement accusing the Chinese of not only rampant illegal subsidies for its players, but also of allowing them to wreak havoc on the Chinese environment through irresponsible waste disposal practices. (official statement) I said last week that the speed of this conflict’s rapid evolution has surprised me, as China’s generous subsidies have been going on for years. Now I’ll add that the volume of the rhetoric is also surprising me, showing that both sides are taking this case very seriously and could take some equally strong actions if either doesn’t like the final ruling by the US International Trade Commission. The timing of this dispute is clearly very much in favor of the US solar companies, as no US politician, including the Obama administration, will want to look soft on China as the US economy continues to struggle just a year before the 2012 presidential elections. If Beijing is smart, it will quickly tone down its rhetoric and move discussions to back-room channels if it really wants to try to avoid punitive tariffs that now seem almost inevitable. Beijing’s actions in the next few weeks will be critical: a quieter, more conciliatory approach could result in less aggressive action by the US, which in turn would cause China’s solar companies to suffer less. But if China continues its loud rhetoric, this dispute could well turn into a drawn-out war that would seriously harm the long-term prospects of the Chinese players.

Bottom line: The outburst of accusations by China and US solar makers in their dispute over unfair trade could deal a long-term blow to Chinese solar makers unless Beijing moderates its rhetoric.

Related postings 相关文章:

China Solars Brace for Icy 2012 With US Trade Complaint 中国太阳能产业需直面美欧关税壁垒

US Congress Turns Up Heat in China Solar Debate

China Brushes Off Western Protest With New Ming Yang Support 明阳获巨额融资 表明中国不理会西方反对