China Produces a Huge Share of the World’s Solar Panels and Solar Power

China is making an astonishing amount of solar energy equipment and generating a vast amount of solar power — more than any other country in the world. Its rapid growth in solar production is changing the global clean energy industry and helping make renewable power cheaper everywhere.

Massive Solar Panel Production

China can now manufacture about 1 terawatt (1 TW) of solar panels every year — a huge amount that would take many countries decades to produce on their own. That’s about as much as the total electricity capacity of all energy sources in most large countries combined.

Chinese companies built 339 gigawatt-hours (GWh) worth of renewable energy infrastructure — mostly solar and wind — even though China has only about 17% of the world’s population.

Because China produces so many panels, the cost of solar electricity has fallen sharply everywhere, with average solar power now costing about 4 cents per kilowatt-hour — among the lowest electricity prices ever seen.

Rapid Solar Installation Growth

China’s installed solar power capacity has grown incredibly fast and continues to break records:

• In the first half of 2025, China added about 210 gigawatts (GW) of new solar capacity — a world-leading figure that pushed its total installed capacity past 1,100 GW (1.1 TW).
• Solar has been the fastest-growing part of China’s power system, with dramatic year-on-year increases in installations.

By comparison, many other countries — even wealthy ones like the United States — have solar capacity measured in the hundreds of gigawatts, not over a terawatt yet.

Why This Matters Globally

China’s dominance in solar panel manufacturing and installation is changing the global energy market:

Lower Costs Worldwide

Because Chinese panels are made at a huge scale, they are cheaper than many other sources of clean energy. This helps countries around the world build solar power more affordably — from homes to large solar farms.

Cheaper Electricity for Everyone

Falling solar panel prices, driven largely by Chinese production, have helped push down global electricity costs from solar, encouraging even more renewable energy adoption.

Climate Impact

More solar panels and installations mean more clean electricity and less reliance on fossil fuels like coal and gas. That reduces carbon emissions and helps fight climate change.

China’s Solar Future

China isn’t slowing down. Officials and industry data suggest renewable energy — especially solar — will keep expanding:

• Total installed renewable power capacity in China is projected to keep rising strongly through 2026 and beyond.
• Solar power, along with wind, is expected to be a central part of China’s energy future and reduce overall emissions.

Analysts also say China’s huge scale and experience in producing solar panels give it a strategic advantage in global clean energy markets.

Bottom Line

China has become a giant in solar power production, manufacturing about 1 TW of solar panels each year and building more solar capacity than almost any other country. This huge output has helped make solar power cheaper and more widespread around the world, supporting the global shift to cleaner energy.