Development of China's Photovoltaic Glass Industry

Prior to 2006, due to high entry barriers and limited market demand, domestic photovoltaic (PV) glass had not yet achieved industrialization. At that time, the PV glass market was essentially monopolized by four foreign companies: France's Saint-Gobain, the UK's Pilkington (later acquired by NSG), Japan's AGC, and Japan's NSG. Domestic PV module manufacturers relied entirely on imported PV glass for production, with import prices exceeding 80 RMB per square meter.

After 2006, with the rapid development of the photovoltaic industry, driven by expanding market demand and profit margins, China's PV glass industry began to grow. Companies such as Flat Glass (stock code: 601865) invested in technological research and development, introduced advanced technologies, and established PV glass production lines, achieving the localization of PV glass.

By around 2016, after approximately a decade of development, China's PV glass industry had completed the transition from dependence on imports to import substitution. Large domestic glass companies began establishing factories overseas. For instance, Xinyi Solar built a production base in Malaysia, and Flat Glass started constructing production lines in Vietnam. Meanwhile, foreign companies like AGC gradually exited the PV glass market, leaving only small-capacity furnaces, such as those of Saint-Gobain, still in operation.

As of now, China has become the world's largest producer of PV glass. By 2018, China's PV glass production capacity and output accounted for over 90% of the global total. Additionally, China has become the largest exporter of PV glass, with key export destinations including the United States, Japan, Southeast Asia, and other regions.

Amid the global trend toward carbon neutrality, the PV glass sector has entered a new phase of competition. Particularly after the lifting of restrictions on new production capacity, not only traditional architectural glass companies but also many other enterprises, optimistic about the prospects of PV glass, have aggressively entered the PV business.

Based on various perspectives and analyses, in the coming years, the "duopoly" market structure is likely to be challenged, though overall industry concentration may continue to increase. In terms of production capacity, the top five PV glass companies are projected to account for 71% of the market share by 2022.

The company's market share in the clean energy photovoltaic industry has been steadily increasing. It is actively contributing to the achievement of carbon neutrality goals and creating greater value for the development of a clean, low-carbon, safe, and efficient energy system.