Adjusting export tax rebates for photovoltaic products will help promote the healthy development of China’s photovoltaic industry in overseas markets.

Since 2024, the development of China’s photovoltaic products in overseas markets has encountered numerous challenges. Market competition has become increasingly vicious, and export prices have continued to decline, creating an awkward situation of “increased volume but decreased price.” This situation has brought a series of negative impacts to China’s photovoltaic industry. The improper behavior of some enterprises in the export process has further exacerbated this problem. These enterprises not only engage in low-price competition but also convert export tax rebates into bargaining power with overseas buyers. It should be noted that the export tax rebate policy is originally intended to offset the domestic value-added tax burden; however, under the manipulation of these enterprises, it has been easily ceded to overseas buyers during the bargaining process. This has resulted in the export tax rebate policy effectively becoming a subsidy for overseas end-user markets. As a result, domestic enterprises have suffered significant profit losses, and their development has been severely hampered. At the same time, the risk of China’s photovoltaic industry facing international trade frictions such as anti-subsidy and anti-dumping measures has also increased significantly, damaging the overall interests and international image of China’s photovoltaic industry. Faced with this predicament, timely reduction or cancellation of export tax rebates for photovoltaic products has become a necessary measure. This adjustment helps to promote a rational return of prices in foreign markets. When export tax rebates are reduced, enterprises can no longer rely on tax rebates for low-price competition, and market prices will more accurately reflect the cost and value of products, thereby prompting foreign market prices to return to a reasonable range. At the same time, this also reduces the risk of trade friction for China. Because the possibility of being identified as a subsidy by foreign countries is reduced, the probability of international trade friction can be reduced. In addition, adjusting export tax rebates can also effectively alleviate the national fiscal burden. Funds originally used to subsidize exports can be allocated more rationally and efficiently, promoting the role of fiscal resources in areas where they are more needed. While adjusting export tax rebates is not the only way to fundamentally solve the problem of “internal competition,” it is of great significance in the long run. It helps to curb the excessively rapid decline in export prices, encouraging companies to focus more on product quality and innovation, rather than simply relying on low prices to compete for market share. This can promote the development of China’s photovoltaic industry towards higher quality and greater sustainability, enhancing the industry’s overall competitiveness. Previously, the Ministry of Finance and the State Taxation Administration issued a policy in November 2024, clarifying that from December 1, 2024, the export tax rebate rate for photovoltaic silicon wafers, cells, and modules would be reduced from 13% to 9%. The implementation of this policy is a proactive response by the government to the export issues of the photovoltaic industry. It is believed that, guided and promoted by this policy, China’s photovoltaic industry will be able to regain a healthy and sustainable development trajectory in overseas markets and achieve more sustainable growth.