LONGi Green Energy (SH601012) In-Depth Analysis Report on BC Technology Progress

As a leading enterprise in the global photovoltaic industry, LONGi Green Energy has firmly selected BC (Back Contact) cell technology as its core development direction in recent years. Zhong Baoshen, Chairman of the company, clearly stated that BC cells will become the absolute mainstream of crystalline silicon cells in the next 5-6 years, and BC technology is “the crown jewel of crystalline silicon technology” [1][2].

As of January 19, 2026, LONGi Green Energy’s stock closed at $18.32, with a market capitalization of RMB 138.46 billion. The company’s stock price has risen 21% in the past year, indicating that the market still maintains confidence in its technical route and development prospects [0].

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LONGi Green Energy has made a major breakthrough in BC cell technology. Its self-developed HPBC 2.0 cell has achieved an efficiency of

, breaking the world record for crystalline silicon single-junction cell efficiency [3][4]. This technological achievement has established LONGi’s global leading position in the field of crystalline silicon cell efficiency.

Technology Type	Cell Efficiency	Module Efficiency	Remarks
HPBC 2.0	27.81%	24.8% (Mass Production)	World’s Highest Mass-Production Efficiency
HPBC Pro	>25.3%	-	Integrated with Hydrogen Passivation Technology
Traditional PERC	23-24%	21-22%	Gradually Being Replaced
TOPCon (Industry Leading)	25.5-26.5%	-	LONGi Maintains an Advantage

In addition, LONGi also holds the world record in the field of silicon-based tandem cells. The efficiency of its commercial-size wafer-level flexible tandem cell, certified by the Fraunhofer Institute for Solar Energy Systems in Germany, reaches

, and the efficiency of its ultra-thin crystalline silicon-perovskite tandem cell small-area device, certified by the U.S. National Renewable Energy Laboratory, reaches [5].

BC cells have the following significant advantages compared with traditional cell technologies:

1. High Power Generation Efficiency
   : BC cells feature a front-side gridless design, reducing optical shading loss
2. Excellent Attenuation Performance
   : Low attenuation rate extends the service life of modules
3. Favorable Temperature Coefficient
   : More stable power generation performance in high-temperature environments
4. Aesthetically Pleasing
   : Suitable for distributed photovoltaic and Building-Integrated Photovoltaic (BIPV) scenarios
5. Power Generation Gain
   : Average gain of over 10% compared to PERC products [1][2]

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LONGi Green Energy is accelerating the construction of BC cell production capacity, forming a clear capacity expansion path:

Project	Production Capacity	Investment Amount	Expected Production Date	Technical Route
Tongchuan Project	12GW	RMB 3.915 billion	November 2025	HPBC Pro
Xi’an/Taizhou Base	30GW	-	End of 2024	Standard HPBC
HPBC 2.0	50GW	-	End of 2025	HPBC 2.0
Actual Completed Capacity	60GW	-	2025	Full Range of BC Technologies

• The 12GW annual output high-efficiency monocrystalline cell project in Tongchuan adopts HPBC Pro high-efficiency cell technology. Compared with HPBC cells, the Pro version has advantages in both single-sided and double-sided performance [1][2]
• As of the end of 2024, the 30GW HPBC capacity has been fully put into production except for a few workshops, with an expected monthly capacity of 2.2GW and annual capacity of approximately 25GW
• Information shows that LONGi’s actual BC production capacity has reached 60GW, reflecting the company’s determination to expand against the trend during the industry downturn [5]

LONGi’s BC technology has achieved large-scale commercial application, mainly reflected in the following aspects:

• Largest BC Power Plant in Europe
  : LONGi supplied 450MW of high-efficiency Hi-MO 9 modules for the construction of Europe’s largest BC photovoltaic power plant to date [6]
• UAE Project
  : Signed a 1.5GW photovoltaic project cooperation agreement with PowerChina and Engie Group to accelerate the global deployment of BC modules [6]
• Global Layout
  : The company has a 5GW module production capacity in the U.S. (via equity participation in a joint venture), avoiding trade barriers through localized operations

• Hi-MO 9
  : Targeting the high-end distributed market, it has completed global empirical testing, with significantly leading power generation data [5][7]
• Hi-MO X10
  : Won the 2025 “Module Award” from PV Magazine, further enhancing the competitiveness of the new-generation product [6]
• BIPV Products
  : Targeting BIPV scenarios, the advantages of BC technology are more prominent

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LONGi Green Energy faces performance pressure during the in-depth adjustment period of the photovoltaic industry, but with the volume release of BC technology products, its loss margin has continued to narrow:

Indicator	2024	Q3 2025	Q3 2025 Month-over-Month Change
Net Attributable Profit	Loss of RMB 8.6 billion	Loss of RMB 830 million in the quarter	Significantly Narrowed
Revenue Scale	-	Q3 Revenue of RMB 18.1 billion	Month-over-Month Improvement
Gross Margin	Under Pressure	Gradually Recovering	Marginal Improvement

• The 2024 loss was mainly due to the price decline of silicon feedstock and wafers caused by overcapacity in the industry
• The loss margin has narrowed for three consecutive quarters in 2025, indicating that the differentiated competition strategy of BC products is taking effect
• The market is expected to gradually rationalize in 2025, and the company is expected to be among the first to benefit from the industry recovery [3][8]

Financial Indicator	Value	Evaluation
Gross Margin	Recovering While Under Pressure	Characteristics of Industry Bottom
Asset-Liability Ratio	Moderate	Sound Operations
Cash Flow	Maintains Health	Supports R&D Investment
ROE	-9.39%	Affected by Industry Cycle

• Current Ratio: 1.43, Quick Ratio: 1.20, both within healthy ranges
• The company maintains abundant cash reserves, providing financial support for BC capacity expansion
• Has implemented share repurchases and share increases by the Chairman, demonstrating management confidence [5]

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As of the end of 2025, the global existing BC cell production capacity is close to 80GW, with LONGi Green Energy and Aixu Co., Ltd. accounting for over 80% of the total capacity, forming a duopoly pattern. The total planned BC capacity in the industry is close to 300GW, and it is expected to enter a peak period of capacity release in the next two years [8].

Enterprise	BC Technology	Cell Efficiency	Production Capacity Scale
LONGi Green Energy	HPBC 2.0	27.81%	~60GW
Aixu Co., Ltd.	ABC	~27%	20GW+
TCL Zhonghuan	BC (Acquired Maxeon)	25.2%	Expanding
Daoxing New Energy	BC Technology Reserve	27.77%	Under Development

: There is a significant gap between LONGi’s HPBC 2.0 module efficiency of 26.6% and TCL Zhonghuan’s BC module efficiency of 25.2%, with a technical leading advantage of approximately 1.4 percentage points [3][8].

According to industry forecasts, the future photovoltaic cell technology pattern will be as follows:

• 2025-2026
  : Rapid release of BC technology production capacity, forming a competitive pattern with TOPCon
• 2027
  : BC technology is expected to become the mainstream choice in the high-end market
• 2030
  : BC technology may account for more than 50% of the market share

LONGi is expected to maintain a leading position in the BC technology wave with its first-mover advantage and continuous R&D investment.

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1. Industry Cycle Risk
   : The supply-demand imbalance in the photovoltaic industry persists, and price pressure may continue
2. Technology Iteration Risk
   : Emerging technologies such as perovskite tandem cells may bring competitive pressure
3. International Trade Risk
   : The U.S. “reciprocal tariff” policy (34%) poses challenges to exports
4. Overcapacity Risk
   : Industry capacity clearance may be slower than expected

1. Leading BC Technology
   : 27.81% cell efficiency maintains global leadership
2. Production Capacity Scale Advantage
   : 60GW BC capacity forms scale effect
3. Continuously Narrowing Losses
   : Performance inflection point gradually emerges
4. Improved Global Layout
   : Production capacity covers major markets such as the U.S. and Europe
5. Management Confidence
   : Share repurchases demonstrate confidence in long-term development

• Technological Leadership
  : ★★★★★ (Global Leader)
• Production Capacity Scale
  : ★★★★★ (Industry No.1)
• Commercialization Progress
  : ★★★★☆ (Accelerated Deployment)
• Financial Status
  : ★★★☆☆ (Recovering from Industry Bottom)
• Valuation Attractiveness
  : ★★★★☆ (PB 2.43x, Characteristics of Industry Bottom)

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LONGi Green Energy’s layout in the BC cell technology field reflects its strategic vision and technological strength as an industry leader. The 27.81% efficiency breakthrough of HPBC 2.0 cells, the 50-60GW production capacity scale, and the successful commercialization of Hi-MO 9/X10 series products together constitute the company’s core competitive advantages in the BC technology era.

Although the photovoltaic industry as a whole is still in a period of in-depth adjustment, LONGi is expected to stand out in the industry reshuffle through its differentiated BC technology strategy and global layout. With the gradual release of BC production capacity and increased market demand awareness, the company’s performance is expected to reach an inflection point.

:

• Q1 2025 Financial Report (expected to be released on April 28, 2026)
• Overseas order fulfillment of BC modules
• Technological progress of perovskite tandem cells
• Industry capacity clearance progress

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[1] Securities Times Network - “Pro Version is Coming? BC Cells Accelerate Mass Production, LONGi Green Energy Plans to Build 12GW High-Efficiency Monocrystalline Cell Project” (https://m.cls.cn/detail/1467499)

[2] Securities Times - “After Clearly Betting on BC Cell Route, LONGi Green Energy Plans to Invest RMB 3.9 Billion to Build HPBC Pro Cell Project” (http://www.stcn.com/article/detail/984406.html)

[3] Economic Information Daily - “Accelerating BC Cell Technology Breakthroughs, TCL Zhonghuan Plans to Acquire Daoxing New Energy” (http://jjckb.xinhuanet.com/20260117/121d0975e7b149878e14e28ecf9714a3/c.html)

[4] LONGi Green Energy Official Website - “Global BC Cell Industry Development Forum” (https://www.longi.com/cn/news/)

[5] CNINFO/Interactive E - LONGi Green Energy Investor Q&A (https://www.lixinger.com/equity/company/detail/sh/601012/601012/shareholders-interactions)

[6] LONGi Green Energy Official Website News - Latest Official Updates from LONGi (https://www.longi.com/cn/news/)

[7] Sina Finance - “Losses Significantly Narrowed! LONGi and Aixu Preview 2025 Performance” (https://finance.sina.com.cn/jjxw/2026-01-18/doc-inhhtpht1982427.shtml)

[8] NetEase Finance - “Lost Over RMB 19 Billion in Two Years, What’s Wrong with TCL Zhonghuan?” (https://www.163.com/dy/article/KJBF3EPR0556DCIE.html)

[0] Jinling AI Financial Database - Market Data and Real-Time Quotes

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Report Generation Date: January 20, 2026