China's solar installations fell 66% in the first half of this year compared to last, as a result of the pricing reforms.

China's new installations of solar power dropped by 66 percent in the first six months of 2026 compared to the same period a year ago, as the world's largest market for solar energy cooled after a rush to connect projects prior to the implementation last year's pricing reforms.

In the period January-June, the country added 72.07 Gigawatts (GW), down from 212.21 in 2025. Installations fell by 13.1% - year-on-year in June to 12.48 GW. The decline is a result of a rush to install projects in early 2025. Developers rushed to commission new projects before the June 1 deadline that changed feed-in tariffs for wind and solar to market-based prices.

The comparison base for 2025 was inflated by nearly 93 GW in May 2025, which is more than four-times the amount installed a year ago. After the new pricing was implemented, June 2025 saw an abrupt drop from May. However, installations were still higher than June 2026.

China is on course to miss the forecasts made by the industry association back in February. It said that full-year installations in 2026 would range from 180 GW to 240 GW. This represents a drop of 24% to 40% compared to the record 315GW added in 2025, and marks the first annual contraction in 2019.

(source: Reuters)