The booming Chinese PV market continues to deliver major module supply deals to domestic manufacturers, the latest a whopping 1 GW deal from Jinko. Starting with no less than 600 MW in 2015, Jinko will supply a minimum of 1 GW of modules to CMNE by the end of next year.
The supply deal is a part of China Minsheng Investment Corps (CMIC) plans to invest RMB200 billion (US$32.2 billion) in around 20 GW of projects in China over the next five years.
As an investment company approved by Chinas State Council, CMIC has the advantage of analyzing government policy and deploying capital efficiently, commented Xiande Li, Chairman of JInkoSolar. We believe this strategy cooperation agreement marks the beginning of a long-term partnership between two leaders in their respective industries.
Jinko currently claims a production capacity of 3.2 GW of modules, with 2.5 GW of ingot and wafer production and 2 GW of solar cells. The deal announced today will therefore consume a significant proportion of the companys output, particularly from its China operations. Last week Jinko announced that it would establish 500 MW of solar cell and 450 MW of module manufacturing in Penang, Malaysia, to supply overseas demand from the EU and U.S.
Jinkos Xiande Li said that the company hopes to develop a long term supply relationship with CMIC. The transaction will be subject to a formal purchase agreement.