Costs of DMC Trend Lower

On May 14, Hong Kong-listed PV stocks fell collectively. Among them, CECEP Solar Energy (00182.HK) plunged over 7%, Flat Glass (06865.HK) dropped over 5% to hit a new periodic low, GCL New Energy (00451.HK) fell 3%, Xinyi Glass (00868.HK) declined over 2%, Xinte Energy (01799.HK) and Xinyi Solar (00968.HK) each fell 1.9%, and Fuyao Glass (03606.HK) slipped 1.4%. Looking back at the previous PV market trends, export tax rebates have long been a key profit support for PV enterprises, while industry self-disciplined production cuts served as an important lever for stabilizing product prices across the industry chain. Entering 2026, as the two major policy supports — export tax rebates and industry-coordinated production controls for price stabilization — have gradually been withdrawn, the policy floor effect has weakened. Going forward, the pricing of the entire PV industry chain will be increasingly driven by the market's own supply-demand pattern.

Copperbelt Energy Corporation (CEC) energized the 136 MW Itimpi II solar plant in Kitwe, currently the largest operational solar asset in Zambia. The $125.8 million project was independently funded through CEC’s $200 million Green Bond, showcasing the strength of local capital markets in financing mega-projects without sovereign debt. Constructed over 14 months, the site created over 2,500 jobs and contracted 15 local firms. With this commissioning, CEC's solar capacity reaches 230 MW, moving toward its goal of 500 MW by 2027 to address power deficits in the mining and industrial sectors.

The Zambia Development Agency (ZDA) and Sunshare Energy signed a $246 million agreement to add 250 MW in the second phase of the Nambala solar plant, bringing the project's total investment to $300 million. Government reforms have significantly streamlined approval timelines, fostering an investor-friendly environment for large-scale projects like Globeleq’s 250 MW solar-plus-storage site. These developments support Zambia’s national target of deploying 1 GW of solar. Current data from AFSIA identifies 977.2 MW of operational solar capacity across the country to date.