China solar firms to speed up global push amid tariff truce

[SHANGHAI] Chinese solar companies will continue their expansion into emerging overseas markets during a 90-day tariff truce between the US and China that brings a more stable trade environment, company executives said at online investor briefings.

“The easing of tariff policies between China and the US is conducive to providing a relatively stable overseas trade environment for the solar and energy storage sector,” said Li Xiande, chairman of Jinko Solar, at the briefing hosted by Shanghai Stock Exchange this week. The company will use the period to pursue “diversification of global supply chain,” he said.

Even before the latest trade war, Chinese solar products bound for the US had faced tariffs for more than a decade. Manufacturers responded by setting up operations in countries that weren’t affected by the duties at the time. But US President Donald Trump’s sweeping tariffs policies, including duties on solar imports from four South-east Asian countries, mean further relocation will be necessary.

Jinko aims to enhance its capacity in the Middle East with a 10-gigawatt solar cell and module project in Saudi Arabia that it’s jointly developing with the kingdom’s Public Investment Fund and Vision Industries, according to Li. The company saw almost 60 per cent of its products go overseas in 2024, and emerging markets in the Middle East, Africa and South-east Asia grew fast, he said.

“The reciprocal tariffs between the US and China would have relatively small impact as there is basically no direct solar export from China to the US with the existing duties,” said Zhuang Yan, chief executive officer of CSI Solar, at the same briefing. The affiliate of Nasdaq-listed Canadian Solar will “make good use” of its capacity in South-east Asia and other regions during the 90-day reprieve, while moving some production and procurement to regions with lower tariff costs, he said.

CSI is also looking at the Middle East, but Zhuang said the company will prioritise other overseas markets amid fierce competition there. The firm will continue its five-gigawatt solar module project in the US, which is expected to reach designed capacity in the second half of this year and the full-year output is estimated at more than three gigawatts this year, the company’s board secretary Xu Xiaoming said at the briefing.

Tongwei currently has no plans to build production capacity overseas, although it has been exploring sites in recent years in emerging markets in the Middle East, Asia and Latin America, vice-chairman Yan Hu said at a separate briefing on Friday. BLOOMBERG