by HOU Ruining
Several of China's leading solar manufacturers have issued earnings warnings for 2025, with five major companies projecting combined net losses of 28.9 billion yuan to 32.8 billion yuan, as the industry continues to work through excess capacity and pricing pressure.
On Jan 18, LONGi Green Energy said it expects a net loss attributable to shareholders of 6.0 billion yuan to 6.5 billion yuan for 2025, according to a stock exchange filing. Losses excluding non-recurring items are forecast at 6.8 billion yuan to 7.4 billion yuan.
LONGi said supply-demand mismatches and sustained price competition have kept utilization rates low across the sector. It added that China's power-market reforms and rising overseas trade barriers have complicated the operating environment. Higher prices for inputs such as silver paste and polysilicon in the fourth quarter lifted production costs for wafers, cells and modules, while product prices remained under pressure.
The same day, Tongwei forecast a 2025 net loss of 9.0 billion yuan to 10.0 billion yuan, with a similar range after excluding non-recurring items. The company said new solar installations continued to grow year on year, though expansion slowed in the second half. It cited ongoing oversupply, lower utilization rates and rising raw-material costs, alongside further year-on-year declines in product prices.
Also on Jan 18, Aiko Solar said it expects a 2025 net loss of 1.2 billion yuan to 1.9 billion yuan, widening to 1.6 billion yuan to 2.3 billion yuan on an adjusted basis. The company said structural overcapacity and low product prices weighed on results, while higher upstream material costs were only partly passed through downstream.
Other major players have issued similar guidance. TCL Zhonghuan expects a 2025 net loss of 8.2 billion yuan to 9.6 billion yuan, while JA Solar forecast losses of 4.5 billion yuan to 4.8 billion yuan.
Trina Solar and JinkoSolar have yet to disclose specific ranges but have said earlier that 2025 net profit attributable to shareholders will be negative. Other large producers, including Drinda and Daqo New Energy, have also signaled expected losses.
The warnings follow an extended industry adjustment that began in the fourth quarter of 2023, as rapid capacity expansion outpaced near-term demand growth. Companies and policymakers have increasingly framed the current phase as part of a rebalancing process.
Chinese regulators have signaled tighter oversight ahead. YANG Xudong, head of the electronic information department at the Ministry of Industry and Information Technology, has said 2026 will be a key year for sector governance, with plans to step up capacity controls and project management and encourage the orderly exit of less competitive capacity.
