Quake May Crimp Chinas Solar Operations
Calyon Securities analyst George Kotzias warned investors some clouds may be on the horizon for Chinese solar companies following the devastating earthquake in that country.
He noted that the epicenter of the 7.9 magnitude quake is near one of China’s main polysilicon production areas. Polysilicon is a crucial component for solar products. Kotzias says the plants themselves appear structurally sound, but power disruptions could interfere with production.
“Solar investors may want to seek safety in U.S. names until more clarification of the situation in China is reached,” he said.
