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Selecting the right path where the sun never sets

By Du Juan (China Daily) Updated: 2013-01-14 10:44

Photovoltaic manufacturer expands globally to ride tough times

Smart businesspeople always try to avoid danger before it happens and that is certainly the case with China's photovoltaic solar companies as they face a trade war and shrinking global demand.

After the United States announced in October its final decision to impose punitive anti-subsidies and anti-dumping tariffs on imported PV solar panels made in China, many Chinese companies started seeking opportunities by cooperating with overseas partners or setting up factories abroad to survive the market onslaught.

Selecting the right path where the sun never sets

Gao Jifan, chief executive officer of Trina Solar Ltd, opened his headquarters for Asia-Pacific, the Middle East and Africa markets in Singapore in October. Under a ruling by the US International Trade Commission, punitive tariffs are imposed on the solar panels produced within China. It creates the possibility that ones produced by factories outside the country but owned by Chinese companies may not be included. [Photo / China Daily] 

One early bird in this respect was Trina Solar Ltd, one of the top four biggest PV solar products manufacturers in the country. It has been expanding its overseas business beyond the United States and Europe to other markets for years, trying to lower risks and increase its profitability.

It opened its headquarters for Asia-Pacific, the Middle East and Africa markets in Singapore on Oct 23.

Although the company had already established offices or subsidiaries in overseas markets over the past few years, it was the first Chinese company in the industry to set up its headquarters outside its home city - Changzhou, in East China's Jiangsu province.

The move indicates its international strategy under the background of growing solar trade disputes between China and the European Union which followed the US' move to start an anti-dumping probe in September and an anti-subsidies investigation in November into imported PV solar cells produced in China.

Under a ruling by the US International Trade Commission, punitive tariffs are imposed on the solar panels produced within China. It creates the possibility that ones produced by factories outside the country but owned by Chinese companies may not be included in the punishment list.

Trina Solar's headquarters in Singapore will provide management functions covering administration, sales, project development, research and development, logistics and purchasing operations, according to the company's statement.

The administrative regions include Singapore, Thailand, Malaysia, the Philippines, India, Japan, Australia, New Zealand, South Korea, the Middle East and Africa.

Gao Jifan, chief executive officer of the company, said the new headquarters will help the company's presence and capabilities in these regions to be strengthened considerably.

"Japan has set attractive tariffs for solar energy power generation as part of its efforts to replace nuclear power, while both India and Saudi Arabia have proposed ambitious solar power strategies," said Sun Haiyan, president of Asia-Pacific, Middle East and Africa at Trina Solar.

Selecting the right path where the sun never sets

 

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