The first half of the year saw a sharp decline in business for wind turbines producers, affecting listed companies such as Sinovel Wind Group Co, Xinjiang Goldwind Science & Technology Co, Dongfang Electric Corp and Xiangtan Electric Manufacturing Co, the report said.
Sinovel, considered the leader of the wind farm industry, disclosed in its interim report on Monday that its group achieved an operating revenue of 5.33 billion yuan ($792.57 million) in the first half, down 29.45 percent compared with the same period last year. Net profits decreased by 48.3 percent year-on-year to 659 million yuan.
Goldwind attributed the slide to funding pressure brought by a comparative tight monetary policy and rising prices of raw materials. New industrial policies such as tightening approvals of new projects and enhancing the industrial threshold create more short term pressure for the wind power companies, Goldwind’s interim report said.
Goldwind made an operating revenue of 5.19 billion yuan in the first half, down 17.61 percent year-on-year. It generated a net profit belonging to the parent company of 425 million yuan, a decrease of 45.05 percent compared with a year ago, the report said.