[SMM PV] Industry Remains at Cycle Bottom, with Reversal Expectations Gap Providing Flexibility Room

People's Daily published an article titled "PV Industry Moving Toward a More Rational, Stable, and Sustainable New Stage," and the National Development and Reform Commission (NDRC) held an expert symposium, once again stressing the need to thoroughly rectify "involution-style" competition. It is rumored that the new round of exit standards for energy consumption and efficiency are about to be released, which could drive a 20-30% capacity rationalization in the PV sector, thereby leading the industry to quickly cross the inflection point of a new cycle. From an industry pattern perspective, as a typical asset-heavy sector, supply-side rationalization is the fastest way for the PV industry to enter a new cycle and also the most crucial anchor for the "reversal" logic traded in capital markets. The pace and intensity of policy implementation will serve as a key catalyst for the subsequent market trend.