Page 27 - A Comprehensive Guide to Solar Energy Systems

Chapter 2 • Solar Power Development in China 21

FIGURE 2.3 PV industry chain in China. Drawn by the author, according to the development of China's PV industry.

China’s PV manufactures are concentrated in the east areas of the country. Production of
the top 10 PV manufacturers accounts for more than 70% in its total PV product output, and
the combined output of the top five accounts for more than half. In response to the ADs and
CVDs following trade conflicts, major Chinese companies have established overseas pro-
duction capacities in more than 20 countries, and the overseas capacity is now over 5 GW
[4]. This has led, to a certain extent, to a diversification of Chinese PV production bases.
The number of the PV manufacturers in China, above a designated size, is estimated to
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be over 700, with a combined output value of rMB yuan 336 × 10 (336 billion) [4]. China
has held the position of the world’s largest producer of PV cells and modules since 2007. In
terms of product, growth has concentrated on modules and wafers; and in terms of tech-
nology, passivated emitter rear cells (PErCs), black silicon, and N-type cell have advanced
the most (Fig. 2.3).

2.2.1 Production

Despite the success of PV industry in China, the industry has long been troubled by a
shortage of silicon feedstock, China accounts for over 50% of the world’s total output of PV
equipment. At present, the Chinese PV manufacturing is overproducing, and the average
utilization rate was no more than 80% in 2016.
China has been the largest producer and consumer of polysilicon in the world for many
years (Fig. 2.4). The top 10 solar-grade polysilicon producers together account for more
than 90% of the total output in the country, and the top five account for over 70%. In 2016,
the production of polysilicon reached to 194 000 t, accounting for 52.4% of global out-
put. Approximately 40% of China’s domestic polysilicon consumption for solar cells was
imported, mainly from Germany, Korea, and Malaysia.
The output capacity of silicon wafer in China was estimated to be over 70 GW by the
end of 2016, while production reached 63 GW. The capacity of various solar cells reached
76.8 GW [7], including 49 GW of crystalline silicon cells (41 GW were poly-Si cells). The
poly-Si cell capacity of China accounted for approximately 66% of the global total (Fig. 2.5).