People's Daily Highlights 'Rat Race' Competition in PV, NEV, and Energy Storage Industries

Published: Jul 13, 2025 23:35

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On June 29, the People's Daily published an article by Jin Sheping titled "Achieving High-Quality Development by Breaking Free from the 'Rat Race' Competition," which specifically mentioned the "rat race" competition in PV modules, NEVs, and energy storage systems.

The article pointed out that currently, some industries in China are facing the dilemma of "rat race" competition. The price of PV modules has dropped to 0.6 yuan per watt, over a hundred automakers in the NEV industry have been caught up in a price war, and the winning bids for energy storage systems have repeatedly hit new lows. This disorderly low-price competition has severely impacted the healthy development of the industry: corporate profit margins continue to decline; R&D investment is forced to be cut, resulting in insufficient innovation momentum; and the industry chain ecosystem has deteriorated, with significant pressure on upstream and downstream enterprises.

The reasons for this are as follows: First, there is a supply-demand imbalance in the market, with severe overcapacity in some industries; second, local protectionism has led to market fragmentation, with some regions still blindly attracting investment; third, the standard system is imperfect, providing room for low-price and low-quality competition. This vicious competition not only distorts market mechanisms but also hinders high-quality economic development.

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