HK Stock Market Move | Photovoltaic stocks fell further in the afternoon, with the internal competition within the photovoltaic industry still unresolved. This year, the domestic photovoltaic installed capacity may decline.

Photovoltaic stocks fell in the afternoon, with XINYI SOLAR (00968) down 5.56% to HK$3.4, XINYI ENERGY (03868) down 3.57% to HK$0.81, XINTE ENERGY (01799) down 2.47% to HK$7.12, and FLAT GLASS (06865) down 1.31% to HK$13.62. On the news front, Xing Yiteng, Director of the New Energy Department of the National Energy Administration, pointed out at a seminar on the 27th that the internal competition in the photovoltaic industry has not been fundamentally resolved, and is cooperating with relevant departments to research and improve policy measures. In addition, the China Photovoltaic Industry Association predicts that the newly installed capacity of photovoltaics in China will reach 215 to 255GW by 2025, meaning that this year's newly installed capacity may decline by 8.13% to 22.54% year-on-year. Industrial sector analysis shows that the internal competition in the domestic photovoltaic industry has intensified, leading to a rapid decline in product prices. The price war has significantly squeezed the profit space of the industry chain, causing major photovoltaic companies to bleed heavily, and forcing smaller companies to face bankruptcy and liquidation. The analysis points out that the supply side of the photovoltaic industry has sounded the "anti-internal competition" policy horn. As the fundamentals/valuations/institutional holdings reach bottom levels, the photovoltaic sector has entered a phase where it is more sensitive to negative news and positive news. Once there are unexpected policy implementations, the potential for recovery and growth in the entire sector is considerable.