Faced with ‘accelerating Chinese dumping’, French solar panel maker Systovi announces it will cease operations

Dark week for French companies. After Duralex and Flabag, it’s Sistov’s turn to struggle. The French solar panel maker, founded in 2008 and with 87 employees, announced Wednesday that it would cease operations, in part due to the “sudden acceleration of Chinese dumping” and following its liquidation by a commercial court, according to a press release.

“The company faces a sudden acceleration of Chinese dumping from the summer of 2023, and the regulatory discussions ongoing in France and Europe, in which it has been involved for many years, will not have an impact in a time frame compatible with its concerns,” the company, based in Carquefou, near Nantes. Systovi, which has been looking for a buyer since March, has not received a takeover offer.

“Making only modules from Chinese cells has always been a difficult situation because the cell market is a very volatile market, depending on the needs of the Chinese themselves,” commented Daniel Boer, president of the solar sector trade union Enerplan. highlighting Sistov’s “very recent” emergence in the sector. “This shows the importance of the solar agreement we just signed,” he added.

The shutdown comes after France launched a “battle plan” in early April to double the pace of its deployment of solar power capacity by 2030 and bolster production of solar panels made in Europe as it faces ultra-industrial dominance. China.

The government expects to have two solar panel factories operational in the country by 2025 to address the industrialization gap in the photovoltaic sector, where France is seriously behind.

France added 3.2 GW of additional solar power capacity in 2023 after adding 2.7 GW in 2022, very slow progress given the country’s huge decarbonization needs, totaling 19.3 GW. However, in its energy roadmap published at the end of November, the government put forward a target of achieving 100 GW of solar power generation by 2035 (instead of 2050).

The goal is to “produce 40% of the photovoltaic panels we use in France by 2030,” Economy Minister Bruno Le Maire said in early April after visiting a photovoltaic park in southern France.

“We are very saddened by this outcome.”

“We are very saddened by this outcome and are now mobilizing all our energies to best support the women and men who have fought for 15 years to bring solar energy to France,” said Paul Toulouse, managing director of Systovi.

In 2023, the company’s turnover was 21.5 million euros. The government expressed regret over the failure of the buyer search process initiated by the company, the office of Industry Minister Roland Lescure indicated, assuring that the state is “closely monitoring the situation of Sistov’s employees and the future of Sistov’s assets.”

Earlier this week, glass company New Duralex International (NDI), operator of the consumer glassware brand Duralex, called for “opening of legal action.”

In turn, Flaberg France, a German manufacturer of car mirrors, was liquidated, resulting in the loss of 109 jobs at the plant in Sarreverden (Bas-Rhin). The business will close on Friday.