Chinese solar glass manufacturer Haikong Sanxin files for bankruptcy

Haikong Sanxin New Energy Materials, a solar glass manufacturer, will file for bankruptcy in order to reduce mounting losses. This is the latest indication of the financial problems facing the Chinese solar industry, which accounts for around 80% global production.

Haikong Sanxin reported a loss of 194.5 Yuan ($27.3 million) from January to June 2025, and 659 Million Yuan in debt.

Haikong halted its production as well at the end September, because continuing production would have resulted in more losses.

Haikong closed a 550-ton kiln in July and five processing lines, but left two open to fulfill commitments made to customers.

The company stated that there were no signs of improvement on the market for solar glass. Prices had dropped significantly, and it was hard to reduce production costs.

Hainan Development stock was down by 4.71% at 0214 GMT Thursday following the news.

As of 0218 GMT, the CSI China Solar Index was up 1.99%.

China's solar sector is suffering significant losses due to the fact that production capacity has risen to almost double global demand and prices have fallen to unsustainable levels.

The government responded by calling for an end of what it called "involution", excessive competition that leads to price wars. Reporting by Colleen Waye; editing by Jacqueline Wong

(source: Reuters)