SHANGHAI, Jan 20, 2026, 10:22 (GMT+8) — Regular session
- LONGi shares slipped in Shanghai morning trading following a forecasted loss for 2025
- Company forecasts a net loss between 6.0 and 6.5 billion yuan, citing weak pricing alongside rising input costs
- Traders zero in on product pricing, raw-material expenses, and the upcoming late-April annual report
LONGi Green Energy Technology Co Ltd (601012.SS) saw its shares drop in Shanghai morning trade Tuesday, following the company’s announcement of another full-year loss.
The A-share slipped 1.8% to 17.99 yuan by 9:45 a.m., following an 18.23 yuan open and a 18.32 yuan close on Monday, according to StockAnalysis.com data. 1
The warning is significant as investors search for a bottom in China’s solar manufacturing sector, which has seen margins erode for months amid intense capacity and price cuts.
LONGi stands out as a major player in the sector, and its guidance often shifts market expectations sharply. This round, the focus returned to costs and pricing power rather than growth promises.
In a stock exchange filing on Jan. 19, LONGi forecasted a net loss attributable to shareholders between 6.0 billion and 6.5 billion yuan for 2025. Excluding non-recurring items, the loss is expected to range from 6.8 billion to 7.4 billion yuan—these one-off expenses fall outside the core business. The company reported an adjusted net loss of 8.592 billion yuan for 2024 and noted the 2025 numbers are preliminary and unaudited. 2
The company pointed to a supply-demand imbalance and fierce low-price competition, which dragged utilisation rates across the industry.
It also flagged tougher overseas trade barriers and deeper domestic power-market reforms, describing the operating environment as “severe and complex.”
LONGi reported a surge in costs during the fourth quarter, driven by steep increases in silver paste and polysilicon prices. Silver paste serves as a conductive material in numerous solar cells, while polysilicon is a crucial upstream component.
On the response front, LONGi is focusing on higher-value, scenario-based solutions while speeding up new product launches. Its second-generation back-contact (BC) products have met yield targets and entered scaled production, with shipments increasing. Additionally, pilot trials to replace silver paste with more affordable base metals have wrapped up.
The firm said it has reshaped its global footprint to navigate changing trade conditions and is ramping up “solar-plus-storage” packages to boost system sales. It also confirmed it has not postponed interest payments or defaulted on any outstanding bonds.
The loss warning came amid similar gloomy signals from peers. Tongwei Co, a key player in polysilicon and cell production, on Jan. 19 forecast a 2025 net loss between 9 billion and 10 billion yuan, blaming softer demand in the latter half and declining prices. 3
Qu Fang, an investment adviser at Wanlian Securities, described the sector as entering a “deep adjustment phase,” where technology-driven differentiation is emerging as the key way out. Jiang Chenyi, an analyst at Shanghai Metals Market, argued the industry must shift competition away from price and focus more on “technology and product value.” 4
Yet the rebound story depends on fast-shifting factors. If module prices hold steady while raw-material costs stay volatile, the final audited results might still fall short. On top of that, tighter trade measures overseas could put further pressure on exports.
Investors want to see if selling prices hold steady into Q1, and if cost measures like base-metal paste will boost margins. LONGi’s next major update is its 2025 annual report, set for April 29. 5
