PVTIME – Arctech Solar has announced plans to terminate its Tracking Bracket Production and Demonstration Base Construction Project in western China. This project was funded by the company’s issuance of A-shares to specific targets. The decision to terminate the project was made due to shifts in market conditions, strategic priorities, and operational needs.
Originally planned in 2022, the project was set to involve total investments of RMB 306.445 million, of which RMB 236.3117 million was to be raised through the issuance of A-shares. The project aimed to establish an annual production capacity of 3 GW for tracking brackets in Inner Mongolia, serving the solar sector in western China, as well as a technical demonstration base to enhance testing capabilities in conjunction with the company’s wind tunnel laboratory. At the time of planning, Arctech Solar anticipated strong demand for tracking brackets due to growth in the western Chinese solar industry, driven by national energy reforms and large-scale projects.
However, weaker-than-expected recent demand for tracking bracket systems in large domestic ground-mounted solar plants has altered the market environment. The company now expects that the project would no longer deliver returns or meet its development and competitiveness goals, hence the decision to terminate it.
As of 25 August 2025, RMB 9.0423 million of the funds raised had been allocated to the original project, leaving RMB 229.55 million (including interest and investment returns) in the dedicated account. Arctech Solar plans to allocate RMB 68.2 million of this to the ‘Changzhou Production Base Automation Upgrade Project’, with the remaining RMB 161.35 million to be kept in the existing account temporarily after covering pending original project costs.
The Changzhou base is Arctech Solar’s key facility for meeting domestic and international demand for tracking brackets, boasting a prime location and well-established supply chains that support overseas orders. The automation upgrade project aligns with the company’s international expansion and long-term strategy. By reconfiguring production lines to match new technologies and market needs, Arctech Solar expects to achieve improved product quality, higher production capacity, and stronger supply chain delivery.
The upgrade will support the solar industry’s goals of reducing costs and improving efficiency, strengthen the company’s core business and international competitiveness, and contribute to the quality development of China’s solar sector.
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