Chinese solar manufacturers report deepening losses amid industry overcapacity

Major Chinese solar manufacturers, including JinkoSolar, JA Solar, and Tongwei, reported significant losses in the first half of 2026. The industry is facing a combination of structural overcapacity, weakening domestic and international demand, and intense pricing pressure.

JinkoSolar reported a second-quarter revenue of approximately RMB 12.36 billion, a 31.3% year-on-year decrease. The company also underwent a leadership change, with Wei ‘Dimi’ Du succeeding Xiande Li as CEO. In response to market conditions, JinkoSolar has lowered its full-year module shipment guidance to between 60 and 70 GW, shifting its strategic focus from volume growth toward profitability and cash flow.

Other industry leaders are seeing similar trends. Tongwei reported a net loss of 5.12 billion yuan, while JA Solar saw a significant decline in operating revenue. Despite these headwinds in traditional photovoltaic operations, several companies are finding growth in the energy storage sector. Canadian Solar and JA Solar both highlighted their energy storage businesses as emerging highlights amidst the broader industry downturn.