SAMR Issues Price Compliance Guidance to Shift Solar Industry from Price to Quality

On July 31, 2026, the State Administration for Market Regulation (SAMR) conducted price compliance guidance for the solar photovoltaic industry in Yancheng, Jiangsu Province, implementing the decisions and plans of the Central Committee of the Communist Party of China and the State Council on deeply addressing 'involution-style' competition. The aim was to shift solar enterprises from 'competing on price' to 'competing on quality' and promote high-quality development of the photovoltaic industry. SAMR emphasized that solar companies should fully understand the current industry development situation, proactively strengthen cost accounting management, establish and improve price compliance systems, conduct comprehensive self-inspection and self-correction, firmly uphold the concepts of compliant operation and rational competition, resist vicious low-price competition, and maintain market pricing order. Leading enterprises should play an exemplary and guiding role, strictly regulate their own pricing and competitive behavior, and set benchmarks for the industry. Industry associations should strengthen self-discipline in accordance with the law, do a good job in publicizing the 'General Rules for Cost Accounting Models of the Photovoltaic Industry' standard, and guide solar enterprises to prevent and stop illegal price acts such as low-priced dumping.

The General Rules for Cost Accounting Models of the Photovoltaic Industry officially came into effect on July 27, 2026. The rules aim to unify the cost calculation scope, calculation coefficients, and calculation models across the entire industrial chain of 'polysilicon - silicon wafers - cells - modules', forming a cost accounting framework that runs through the industrial chain. This helps eliminate the industry-wide confusion caused by inconsistent cost accounting standards and divergent practices.

SAMR stated that it will place equal emphasis on regulatory compliance and industrial development, coordinate corporate cost accounting with price supervision and law enforcement, and comprehensively use methods such as reminders and urges, compliance interviews, and administrative guidance to guide solar companies in standardizing price competition. Business entities that draw strong industry criticism, seriously disrupt market order, or fail to rectify after reminders and interviews will be dealt with seriously in accordance with the law. Participating in this compliance guidance activity were officials from the relevant departments of SAMR, the National Development and Reform Commission, the Ministry of Industry and Information Technology, and the Ministry of Commerce; market regulation officials from Jiangsu, Zhejiang, Anhui, and Xinjiang; as well as representatives of the China Photovoltaic Industry Association and 27 solar companies.