Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Suntech Power and LDK Solar Decline on China Loan-Cost Concerns

Suntech Power Holdings Co. and LDK Solar Co. sank in U.S. trading on concern new lending initiatives in China may increase borrowing costs for the world’s largest solar companies.

Suntech, the world’s biggest maker of solar panels, dropped 2.1 percent to $2.79. LDK, the second-biggest maker of solar wafers, retreated 3.3 percent to $3.49. Trina Solar Ltd., China’s third-biggest maker of solar panels, fell 3.1 percent to $6.54 per share.

Solar companies’ borrowing costs will rise if policies by China’s Premier Wen Jiabao to boost the country’s non-bank lending are put in place, said Hari Chandra Polavarapu, an analyst at Auriga USA in New York.

“Their banking system lends an enormous amount to the Chinese solar players, and if the screws are tightened on those banks, they’d have to raise rates on the solar companies,” Chandra Polavarapu said in a phone interview.

China needs to break a banking “monopoly” of a few big lenders that make easy profits because it’s hard to borrow money elsewhere, Wen said yesterday, as cited by China National Radio.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.