Policy Frameworks and Competitive Dynamics in the Photovoltaic Industry: A Comparative Study of China and the United States

This study provides a comparative analysis of the photovoltaic (PV) industry in China and the United States. By tracing the development of policies, it shows the differences between China and the United States and analyses the differences between industry structure and competitiveness. The findings indicate that China has achieved global market dominance and low-cost production through stable long-term policies, strong financial support, and vertically integrated supply chains, which have allowed it to become the world's largest producer of PV modules. In contrast, the U.S. has been a leader in technological innovation but faces significant challenges, such as fragmented policies, a lack of comprehensive support for the entire PV supply chain, and heavy reliance on imported components. These factors have limited the U.S.'s ability to achieve the same scale of production as China. The study suggests that closer cooperation between the two countries could enhance both countries' competitive advantages, foster innovation, and accelerate the global energy transition to renewable sources.