Glass merchants collectively forced debts： photovoltaic enterprises owed 1.7 billion pounds as a target.

????On May 8th, the European Commission agreed to impose punitive tariffs on photovoltaic products imported from China, and the average tax rate of 47% began to be levied on June 6th. The tax rate of 47% has far exceeded the affordable level of enterprises in China.

????On May 9th, several people from photovoltaic enterprises confirmed that in April, under the strong demand of many leading glass manufacturers such as xinyi glass, the Glass Chamber of Commerce held a special meeting on the arrears, and after the meeting, they sent letters to major component enterprises on accounts receivable, demanding to pay off the payment for glass.

????"In the letter, the glass manufacturer threatened to stop supplying if the arrears were not paid off." An executive of a photovoltaic enterprise in Zhejiang confirmed that large photovoltaic enterprises have basically received the letter, and because Yingli Green Energy (hereinafter referred to as Yingli) owes the most money to glass enterprises, it has become the target of glass enterprises.

????It is another year when the financial report is disclosed, but for the listed photovoltaic enterprises that are still in the winter, they are faced with not only the disappointment from investors, but also the pressure from suppliers to force debts.

????Lian Rui, a senior analyst at Solarbuzz, believes that defaulting on payment for goods is a common situation in the industry, which has existed since the beginning of the downturn in 2011. "But if you go back, you will find that the problem will point to the national finance. The component chamber of commerce will say that the five major power companies owe me money; The five major power companies explained that the national electricity price subsidy has not yet arrived, so wait a minute. "

????Glass manufacturers force debts.

????Ultra-white tempered glass, the enterprises that do this business in China mainly include xinyi glass, CSG, Changzhou Amarton and Jinjing Glass.

????After the meeting in April, companies including Yingli, Suntech (NYSE：STP), Trina Solar (NYSE：TSL) and China Light and Power Photovoltaic (NASDAQ：CSUN) all received letters of collection from the Glass Association. Many photovoltaic companies are secretive about the specific amount of payment owed to glass manufacturers, but think that the total amount owed to the whole industry should be no less than 1.7 billion yuan.

????"When the debt was owed, everyone sent one or two people to the other party’s office for discussion, but now the situation is different." The above-mentioned executives of Zhejiang PV enterprises said that the glass industry was the first to jump out, mainly led by several big factories such as xinyi glass, and directly solved by industry associations.

????The executive said that photovoltaic module companies have several glass manufacturers to supply, so as to avoid risks. For example, Yingli has about eight glass suppliers, and because Yingli is the largest photovoltaic company in China, it owes the most money. "The glass manufacturers require all settlement at the end of April, otherwise the goods will be stopped."

????What photovoltaic modules need is ultra-white tempered glass. The enterprises that do this business in China mainly include xinyi glass, CSG, Changzhou Amarton and Jinjing Glass.

????In fact, in the past year, serious financial crises broke out in LDK, Suntech Power and other companies, resulting in a large number of supplier dunning problems, and finally the introduction of state-owned capital.

????"As a result of the final compromise, at the end of April, everyone did not pay off all the payment, so the glass manufacturer gave an extension, and the grace period was until the end of May." The above-mentioned executives said that at present, banks have basically stopped lending to photovoltaic enterprises, and the cash flow of major photovoltaic enterprises is also relatively tight. Ultra-white tempered glass accounts for a relatively important proportion in glass enterprises, and it is cold with photovoltaic enterprises. "At present, no enterprise has stopped supplying."

????The executive said that for the arrears of glass enterprises, photovoltaic enterprises are "returning the old ones to buy the new ones", that is, paying off the old ones and defaulting on a new batch of payment, and rolling down step by step. "Maybe it will not be paid until the industry improves.".

????However, what worries the industry is that behind the collective action of glass enterprises, the debt collection of auxiliary materials manufacturers such as silver paste and EVA may follow.

????The above-mentioned executives said that the attitude of other auxiliary materials factories is getting tougher and tougher, and they also threatened to cut off the supply. "But enterprises will basically compromise as long as they discharge the repayment plan in detail." Except LDK and Suntech, auxiliary materials factories will still account for component enterprises.

????The knotty problem of triangular debt

????The phenomenon of mutual arrears between upstream and downstream is extremely serious.

????With the rapid growth of China’s photovoltaic market, the problem of "triangular debt" of photovoltaic enterprises, from investors to EPC manufacturers to suppliers of components and auxiliary materials, has not been clarified.

????"I am worried that in 2013, domestic PV companies will have the financial risk of’ triangular debt’." Wang Xinghua, chairman of Zhongsheng Optoelectronics, told reporters frankly that the phenomenon of mutual arrears between the upstream and downstream of enterprises that do photovoltaic power plants in China is extremely serious. Although the domestic photovoltaic application market will double this year compared with 2012, the company has always been cautious, so the company still focuses on the international market.

????At present, the main investors of domestic photovoltaic power plants are five major power generation groups and local state-owned enterprises. When the photovoltaic electricity price is still higher than the traditional electricity price, the investment income of photovoltaic power plants still mainly depends on the state subsidies on the photovoltaic on-grid electricity price, and this subsidy amount is in the range of 1 yuan/kWh and 1.15 yuan/kWh.

????In December 2012, the state issued a new batch of renewable energy power generation subsidies from October 2010 to April 2011, with a total amount of 11.345 billion yuan.

????Lv Jinbiao, deputy general manager of Zhongneng Silicon Industry, a subsidiary of GCL-Poly Energy, said that the renewable energy fund is spending more than 20 billion yuan in 2011, and "wind power alone spent more than 18 billion yuan". Even after the tariff surcharge for renewable energy is raised from 4%/kWh to 8%/kWh, there is still a certain gap.

????When photovoltaic enterprises are booming, the account period of enterprises will even last for more than one year. For polysilicon, battery components, and auxiliary materials enterprises, such an account period is faced with the pressure of advance payment, the shrinking net profit brought by the general account and the risk of bad debts.

????After the EU decided on the average tax rate of 47% on May 9th, for China PV companies, the retreat of the European market corresponds to the financial pressure and the tight cash flow of downstream enterprises.

????The aforementioned Zhejiang PV executives admitted that although the votes of EU member States are still needed, the preliminary ruling is basically certain, and the goods that have been sent to the EU by sea are at risk of impairment. "Because customers are unwilling to bear the risk of an average tax rate of 47%, they are either sold at a reduced price or shipped back, and the risk of shipping back is also high." On the other hand, due to the impairment of goods shipped to Europe, downstream manufacturers are worried about the cash flow of component enterprises, and the pace of debt collection will be accelerated.

????"I now ask the component companies to pay in full, otherwise they will not supply." He Yisha, the chairman of Zhejiang Jinle Solar Energy Technology Co., Ltd., is worried about this. Due to the closure of a downstream component enterprise, a batch of hundreds of thousands of loans have been treated as bad debts.

????According to Solarbuzz’s forecast, the global installed photovoltaic capacity in 2013 was 35GW, which was double-digit growth compared with 29.7GW in 2012. HIS, a photovoltaic research institute, predicts that by the end of May, the price of photovoltaic modules in China will reach 0.53 euros per watt (about 4.27 yuan), which is 5% to 6% higher than that in March this year-these two are the few good news.