CNR Beijing, March 4 (Reporter Fu Tianming) — During the 2026 Two Sessions, NPC Deputy, Vice Chairman of the All-China Federation of Industry and Commerce, and Chairman of the Board of Tongwei Group, Liu Hanyuan, focused on the healthy and sustainable development of China's photovoltaic (PV) industry. He proposed incorporating the PV manufacturing segment into the energy sector for coordinated management, driving the industry from scale expansion to high-quality development, and solidifying the foundation for building a new national energy system.

The PV industry is a key pillar supporting China's "dual carbon" goals and the construction of a new energy system, having formed a globally leading full-chain advantage. Currently, China's PV industry faces prominent issues including insufficient coordination between manufacturing and application, cyclical supply-demand fluctuations in capacity, and disorderly low-price competition. The industry's production capacity significantly exceeds market demand. Low-price competition has led to substantial losses across the entire sector for two consecutive years, a sharp decline in market capitalization, posing challenges to industrial chain security and financial stability.

There are bottlenecks in the connection between policy implementation and the market. In January 2025, the National Development and Reform Commission issued relevant documents to advance market-based reform of new energy feed-in tariffs. However, local implementation rules vary, and policy uncertainty combined with electricity price fluctuation risks has reduced corporate investment willingness, slowed the growth of domestic PV installations, and put pressure on industry development.

The international competitive environment is growing increasingly complex. Affected by overseas capacity expansion and trade protectionism, the export growth rate of China's PV modules has notably declined, squeezing international market space. Under dual pressures from both domestic and international markets, "involution-style" competition in the PV industry is intensifying, making transformation and upgrading an urgent priority.

Deputy Liu Hanyuan believes that during the critical period of the nation's full-scale push toward "dual carbon" goals, the PV industry should no longer be managed as general manufacturing. Instead, greater protection should be given to its globally competitive leading edge, more emphasis should be placed on its important role in China's energy transition, and its major strategic significance for national energy and foreign exchange security should be recognized. Against this backdrop, incorporating the PV manufacturing segment into energy sector management would enable the PV industry to achieve manufacturing-application coordination, balance between security and transformation, and unified policy and supervision. For the nation, it represents an upgrade of China's energy management system based on changes in energy structure and energy security considerations, serving as an important guarantee for achieving "dual carbon" goals and supporting high-quality national development. On this basis, Deputy Liu Hanyuan puts forward the following proposals:

First, it is proposed to incorporate the PV manufacturing segment into the energy sector for coordinated planning and management. The National Development and Reform Commission and the Ministry of Industry and Information Technology should take the lead in coordinating PV manufacturing management, with the National Energy Administration, the State Administration for Market Regulation, the Ministry of Ecology and Environment, and other ministries providing collaborative support. PV manufacturing capacity should be planned in coordination with energy development and grid construction, establishing a collaborative "manufacturing—application—absorption" linkage mechanism.

Second, it is proposed to establish a market regulation mechanism for the PV manufacturing segment by drawing on the mature experience of traditional energy sector management and in accordance with the Energy Law of the People's Republic of China. The operation of PV manufacturing capacity should be linked with national PV installation plans and export demand, building a "demand-driven production" dynamic balance mechanism. The price regulation system for PV manufacturing should be improved, a price early-warning mechanism established, and price intervention measures and emergency price measures adopted when necessary, to build a risk prevention and response mechanism against abnormal market price fluctuations.

Third, it is proposed to establish a unified national monitoring platform and improve the emergency support and overcapacity monitoring system. A PV manufacturing operation monitoring system should be set up to track data on capacity, output, prices, energy consumption, quality, as well as operational dynamics across circulation, distribution, and consumption segments. Polysilicon, the most upstream raw material segment of PV manufacturing, should be incorporated into the national energy security reserve system, and an emergency response mechanism for raw material supply and reserve under extreme circumstances should be established to enhance industrial chain resilience.