The photovoltaic component manufacturing sector is undergoing a period of major financial turbulence. According to the latest Wood Mackenzie (Wood Mackenzie) report published on December 17, 2025, JA Solar (JA Solar) and Trinasolar (Trinasolar) now hold the top global positions with scores of 91.7 and 91.6 respectively. This performance comes amid a crisis in which the world’s ten leading manufacturers recorded a collective net loss of $2.2 billion in the first half of 2025. This situation stems from a sharp decline in module selling prices, directly impacting the operating margins of the largest Chinese industrial players.
Supply concentration and operational excellence
The dominance of market leaders is reflected in a growing concentration of market share. The top ten companies in the sector shipped a total volume of 224 gigawatts (GW) of modules, accounting for 75% of global deliveries in the first half of the year. While the average global factory utilization rate stands at only 43%, the top ten maintain an average rate of 70%. Companies such as Adani Solar (Adani Solar) and DMEGC Solar (DMEGC Solar) stand out by maintaining 100% utilization rates, signaling operational resilience in the face of widespread overcapacity.
The analysis also introduces the new Grade A (Grade A) classification, designed to assess the bankability and reliability of suppliers based on strict performance criteria. Thirty manufacturers across nine countries achieved this distinction in the first half of 2025, providing project developers with a risk management tool. Unlike their Chinese counterparts, non-Chinese manufacturers in the ranking remained profitable by focusing on premium markets protected by trade barriers. This financial divergence underscores the strategic importance of geographically diversifying production capacity to circumvent tariff-related tensions.
Technological shifts and consolidation outlook
The industry is set to undergo a phase of deep structural consolidation between 2026 and 2027. Vertical integration, enabling control of the value chain from silicon ingot to finished module, is becoming the new competitive standard. Several leaders are currently expanding their infrastructure into the Middle East and North Africa (Middle East and North Africa, MENA) region to secure resilient supply chains. This strategy aims to stabilize revenues in an economic environment marked by persistent volatility in photovoltaic component prices.
The next technological leap will be driven by tunnel oxide passivated contact cells (Tunnel Oxide Passivated Contact, TOPCon 4.0). This technology is expected to push module efficiency beyond 25%, accelerating the phase-out of previous-generation production lines. According to Wood Mackenzie forecasts, manufacturers able to sustain strategic investments despite the current crisis will be best positioned to capture the next growth cycle. The ability to finance these technical advances will determine the survival of second-tier players in a saturated market.
