The value of an American solar cell manufacturer has risen since 2018 to become the most valuable in the world, after Chinese competitors suffered a price war to reduce profits, and another attack from trade barriers erected by Washington.

First Solar shares rose by 1.5% yesterday, Friday, to end trading with a market capitalization of $21.15 billion.

Through this move, the Arizona-based company overcame Sun Gro Supply, which saw its shares fall 4.2% on Saturday in Shenzhen, and its value is estimated at about $20.85 billion.

This is the first time since 2018 that a Chinese company was not the manufacturer of the most valuable solar energy equipment, and the country dominates the global production of panels and controls more than 80% at every step of the supply chain.

China bears a high cost of building factories as the production capacity has exceeded global demand. Which led to lower prices and decreased profit margins.

LONGi Green Energy Technology, a leading and distinguished Chinese manufacturing company, incurred a net loss of 2.35 billion yuan during the first quarter, after achieving a profit of 3.64 billion yuan in the same period in 2023.

First Solar is considered one of the largest manufacturers of solar panels in the United States, which is considered to be the beneficiary of these measures. It sells its panels in the United States, where prices are three times the global average, and this is due to the customs tariff against Chinese products, and there is support that will be provided under the inflation reduction law that It was imposed by the administration of US President Biden.

The company produced 12 gigawatts of panels during 2023, compared to 79 gigawatts for Jinko Solar, which is located in Shanghai, but First Solar did not immediately withdraw from Bloomberg’s request.

China's giant companies increasingly see themselves as targets in geopolitical disputes; The leaders of the United States and Germany criticize its excess capacity for obstructing the development of supply chains in other parts of the world. In light of this, Joe Biden announced last week an increase in customs duties on Chinese solar panels, in addition to other moves aimed at supporting American manufacturers.