Deutsche Welle reports that cell maker Q Cells is filing for bankruptcy.
Boosted by state funding, Chinese solar firms have recently gained a financial edge over German manufacturers, allowing them to offer solar panels up to a third cheaper.
“The fall in prices in recent months has exceeded our expectations,” Frank Asbeck, head of Solarworld – another German solar firm – told the DPA news agency in February.
In addition, the German government has sharply reduced price guarantees for solar energy, with the latest subsidy cut of 30 percent due to come into effect this summer.
“The cuts mean an existential threat to the solar industry,” Günther Cramer, head of the solar industry group BSW, told Reuters news agency after the cuts were announced in February.
The full report is here. As the West bows before the dictates of austerity, China gets a leg up in another industry. Stay tuned.