The principle of photovoltaic power generation is to use semiconductors to convert sunlight directly into electricity. As a semiconductor, polysilicon is the core material of solar cells, and the purification of polysilicon has also become an important part of the production of photovoltaic modules. China's polysilicon production capacity accounts for one-third of the world's, ahead of other countries. However, due to not mastering the core technology of refining polysilicon, the capacity utilization rate of domestic polysilicon is very low. So far, purified polysilicon still needs to be imported from abroad, which shows that the source production of photovoltaic products in China is still very weak.

Although it is not dominant in polysilicon production, China's low-cost labor force has allowed many entrepreneurs to eat photovoltaics in terms of polysilicon slices, cell production and final solar module assembly. With government support, they invest in photovoltaics. The industry seems to have become a non-compensatory project, and within a few years, a large number of photovoltaic manufacturing companies have emerged.

The increasing number of enterprises has made China the largest photovoltaic cell manufacturing base in the world. However, due to the fact that thermal power is still dominant in China and the price of photovoltaic equipment is relatively low, the pace of application of photovoltaic products in China is very slow, which also forces enterprises to seek market opportunities in developed countries such as the European Union and the United States.

China's photovoltaic enterprises have their own survival mode for re-exporting. However, the lack of core technology makes purified polysilicon highly dependent on imports and the cost is high. In addition, slight fluctuations in international market demand will directly impact the domestic industry. The development of China's photovoltaic road is always too passive.