TCL Zhonghuan to invest 2.6B yuan in BC battery upgrade

TCL Zhonghuan Renewable Energy Technology Co., Ltd. (SZ:002129) has announced plans to invest 2.6 billion yuan in the upgrade of its BC (back-contact) battery technology, signaling a strategic shift toward next-generation photovoltaic solutions. This move aligns with the company’s broader efforts to strengthen its module business and diversify its technological portfolio beyond its traditional silicon wafer operations.

The investment will focus on enhancing the efficiency and scalability of BC technology, which is considered a promising direction for the future of photovoltaic modules. TCL Zhonghuan recently launched its next-generation BC module at its Tianjin manufacturing base, achieving 25.2% module efficiency and a 680W power output. The company’s BC platform is built on an integrated technology foundation spanning wafers, cells, and modules, supported by 1,600 foundational BC patents and decades of research and manufacturing expertise.

This upgrade is part of TCL Zhonghuan’s broader restructuring efforts, which include expanding its module production capacity and strengthening its global market presence. The company has also increased its Maxeon stake to leverage its expertise in BC and TOPCon technologies. Despite these strategic moves, TCL Zhonghuan has faced significant financial challenges in recent years, with cumulative losses exceeding 10 billion yuan over the past five quarters.

The investment in BC technology reflects TCL Zhonghuan’s commitment to innovation and its ambition to compete in the global photovoltaic market. However, the company faces stiff competition from industry leaders and must overcome production and financial hurdles to achieve its long-term goals.