However, it was learned Monaday (03.25) the Asian manufacturer was in default of payment, the latter being unable to pay a debt of about $ 541 million. With a higher end 2007, the share price fell Suntech 99.5% from $85 to $0.40!
After the United States and Europe, China seems to be affected in turn by the crisis of demand, where overproduction drove down prices dramatically (45% in 2011), according to IHS data. To this added the anti-dumping procedures and anti-subsidy initiated by Western countries. A year ago, Suntech was suspected of having received a grant of up to $7.3 billion from the central government through the China Development Bank. But CEO Zhengrong Shi then partially denied these allegations stating a figure 10 times lower.
Moreover, the willingness of China to clean up the area, including the phases of consolidation, the government has significantly reduced state aid to producers of photovoltaic panels. This will do nothing to arrange a situation where other companies could experience a plight in the coming months. Names like Trina Solar and LDK Solar are also mentioned in the press.