In recent years, China’s solar industry had witnessed a rapid development. China’s solar cell output only accounted for 8.1% of the total global output in 2005, but the ratio sharply increased to 17.1% in 2006. In 2007, China’s solar cell output was totaled at 1,088MWp, accounting? for 27.2% of the total global output, becaming the largest solar cell manufacturing country in the world. However, China’s solar cell application market is still developing slowly. In 2007, only 20MWp or 1.84% of china’s total solar cell output was consumed locally, and the rest was exported.

Unlike the solar cell, the manufacturing of thin-film solar cell is not affected by the lack of raw materials such as polysilicons. Therefore, it attracted more attentions. China’s thin-film solar cell output increased sharply during the period of 2007 to 2008. More and more manufacturers in China had expanded their production capacity: Shenzhen Topray Solar, the a-Si (amorphous silicon) thin-film solar cell manufacturer had raised a total fund of CNY550 million from the stock market in 2008, for the constructional purpose of 25MW a-Si thin-film solar cell project and 15MW crystalline silicon solar cell project.

Moreover, On May27th 2008, Zongyi Group and Jusung Engineering from South Korea had agreed to co-establish a production line of 26MW thin-film solar cell, other solar cell manufacturers such as Sunvim Group, Fengfan, LDK Solar and Baoding Tianwei Group all performed actively in China’s thin-film solar cell market in the year of 2008.

The Government also pays great attention on solar power developments, and has released a series of favorable policies such as the subsidy of CHN4.00/kh for two solar power generating stations locate at Shanghai and Inner Mongolia respectively.