China proposes export controls on solar-manufacturing technologies

By Reuters News

By Colleen Howe

BEIJING, Oct 18 (Reuters) - China has proposed export controls on 12 technologies used to make solar equipment, citing national security concerns, as part of a broader revision that also covers AI and biotechnology.

The ministry of commerce proposed adding the photovoltaic technologies to China's export-control list, it said in a statement on Friday, adding that greater oversight is needed because solar technologies are increasingly being used in sensitive areas like aerospace and national defense.

Chinese officials held initial talks with manufacturers about potential curbs on advanced solar-panel manufacturing technologies, Reuters reported in April, a move that could threaten plans by US firms such as Tesla TSLA.O to expand production in the US.

Beijing has also curbed exports of solar-manufacturing technology to India, Reuters has reported. Analysts say China is seeking to preserve its dominance as India tries to build up domestic manufacturing and shake off reliance on China.

Export restrictions aim to "guard against the risks of technologies from running out of control or being improperly disseminated, while safeguarding normal international exchanges and cooperation in science and technology," the ministry said.

Exporters must now register certain overseas technology transfers until the export-control catalogue is formally updated. Public consultation on the proposal will close on November 15.

China would ban technologies including those used to make some thin wafers, perovskite and tandem solar cells, as well as large-scale fluidized-bed polysilicon production technologies.

Perovskite is an emerging technology that offers the potential of increased conversion efficiency. Tandem cells combine perovskite and silicon layers to capture more of the sunlight spectrum.

Fluidized-bed technology for producing polysilicon — a key building block for solar panels — is less expensive and more energy-efficient than the dominant Siemens process.

China would also restrict, but not prohibit, exports of advanced solar cell manufacturing technologies, including TOPCon, HJT and XBC.

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.