In order to manage global overcapacity, China's cabinet plans to reform its domestic PV manufacturing industry by promoting consolidation via mergers and acquisitions.
The company's State Council will use ‘market pressure mechanisms,’ such as reducing government support and disallowing local governments from funding manufacturers that are struggling.
According to the Wall Street Journal, which cited a Chinese-language statement from the council, no specific policies on shutting down companies were detailed. Local governments are expected to oppose these measures.
