Xingao Photovoltaic Panels

Why are solar panels made in Xinjiang?

More than 40 per cent of China’s total reserves are in the arid region. That is an important factor in producing solar panels. Manufacturers make polysilicon through chemical evaporation at high temperatures of around 900 Celsius. Local solar companies have repeatedly sought to assure investors that they do not use forced labour from Xinjiang.

Does Xinjiang use forced labor to make solar panels?

Allegations have been raised before that forced labor in Xinjiang has been used to produce polysilicon, a key component for making solar panels. But this latest research indicates that the practice is also used in the mining and processing of quartz, the raw material at the very start of the solar panel supply chain.

Is Xinjiang a good place for solar energy?

Xinjiang alone produces nearly half of the world’s solar-grade polysilicon, and is home to factories for some of the industry’s biggest players. Meanwhile, many countries are betting on solar as a critical form of renewable energy as they work to transition away from more polluting power sources.

Can Xinjiang make polysilicon?

Manufacturers make polysilicon through chemical evaporation at high temperatures of around 900 Celsius. Local solar companies have repeatedly sought to assure investors that they do not use forced labour from Xinjiang. Geopolitical risks remain high. US lawmakers have been discussing a ban on all products from Xinjiang.

Does China have a role in the solar power industry?

The report will likely draw additional scrutiny to China’s outsized role in the global solar power industry. The country has between 71% and 97% of the world’s capacity for various solar panel components, according to market research firm Bernreuter Research.

Is it time for investors to take profits from Xinjiang coal?

For example, shares in Germany’s Wacker Chemie and South Korea’s OCI, two of the few non-Chinese producers of solar panel materials, have risen by just half the level of Chinese rivals. However, the dual drumbeat of disapproval towards coal and products from Xinjiang mean it is time for investors to take profits.