Two major Chinese manufacturers of solar ae cutting their workforces in a sign that solar has some clouds on its horizon and that after years of rapid expansion that have made China the world centre of solar development.

The latest news is that Longi Green Energy Technology has said it will reduce its employee count by five per cent. As one of the world’s largest solar manufacturers the announcement will add to the sense that a corner is being turned, and this follows reports earlier in the year that SolarEdge Technologies has done the same.

In part this is part of a maturing sector, in part a result in the slowdown in the Chinese economy and in part there is also a move to diversify production, moving some capacity from China and to the US, where the IRA can be business beneficial.

There are also pressures from excess stock and weaking demand, particularly in the US where market reforms have led to reduced interest in solar.

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