Beijing, December 26, 2025 — The Chinese authority has issued compliance guidance aimed at restoring orderly pricing behavior in the solar industry, warning against coordinated pricing, deceptive practices, and other conduct seen as distorting market outcomes.
The guidance was delivered at a meeting held on December 26 in Hefei, Anhui province, where officials briefed industry participants on pricing-related violations and risks observed in the sector. According to the authority, the solar industry has been affected by low-quality rivalry and repetitive, homogeneous investment, putting many companies under profitability pressure and weakening incentives for technological innovation and product upgrades.
Pricing and Conduct Risks
The authority said such practices have distorted the allocation of market resources and created a “race to the bottom,” allowing inferior products to crowd out higher-quality offerings. It stressed the need to address what it described as “involution-style” rivalry across the sector.
Solar companies were urged to conduct business in accordance with the law, strictly avoiding price collusion, price fraud, and other unlawful pricing practices. The authority also warned against false advertising, commercial bribery, and other forms of unfair conduct.
Responsibilities Across the Supply Chain
Power generation companies were called on to act responsibly in project tenders by adhering to a principle of quality-based pricing and strengthening quality requirements for solar products. Industry associations were urged to play a stronger self-regulatory role, guiding companies to achieve mutual benefits through innovation, quality improvement,s and service upgrades.
Enforcement Outlook
The authority said it will intensify product quality supervision and strengthen enforcement against pricing and unfair conduct, pledging to crack down on violations and safeguard orderly market conditions. The measures are intended to support the sector’s stable and sustainable development.
Officials from several central government bodies, including the National Development and Reform Commission, the Ministry of Industry and Information Technology, and the Ministry of Commerce, as well as local regulators from Jiangsu, Zhejiang, Anhui, and Qinghai, attended the meeting alongside representatives from power generation groups, solar companies, and industry associations.
Source: https://www.samr.gov.cn/xw/sj/art/2025/art_b5681f5ea0434e60bcef884b342f0817.html
