Battle of Patents: Champions in Solar Module Sales
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- November 8, 2024
The fast-evolving landscape of the photovoltaic (PV) industry has recently been shaken by allegations of patent infringementJinkoSolar, a leading player in the sector, through its wholly-owned subsidiary, Jiangxi Nianyu Yuedong Technology Development Co., has filed a lawsuit against Longi Green Energy, another giant in the solar market, along with Jiangxi Shangwei Technology CoThe proceedings are set to kick off in February 2025 at the Nanchang Intermediate People's CourtThe heart of the dispute revolves around violations related to invention patent rights, specifically linked to TOPCon technology, a cutting-edge solar cell innovation.
In a bad turn for Longi Green Energy, JinkoSolar has confirmed that its allegations are serious, demanding not only immediate cessation of the supposed infringement but also monetary compensation for economic damagesLongi Green, upon being questioned by media, stated that it had yet to receive any formal legal notifications regarding the case
Known for holding a significant number of patents in the photovoltaic field, Longi expressed its dedication to respecting intellectual property rights and indicated that it would undertake an active investigation into the matterMoreover, they hinted at a possible countersuit against Jinko if necessary.
This legal confrontation isn't entirely unexpectedOver the past two years, the photovoltaic sector has been plagued by supply-demand imbalances, leading to intensified competition among firmsMany entities, including JinkoSolar and Longi Green, have been embroiled in various patent disputes specifically surrounding BC (Back Contact) and TOPCon (Tunnel Oxide Passivated Contact) technologies.
To illustrate the ongoing tension, it's worth mentioning that in 2024, Trina Solar accused Canadian Solar of infringing on its patents related to TOPCon technologySimilarly, JA Solar also filed accusations against Chint New Energy over possible patent violations concerning the same technology
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Trina Solar did not stop at litigation; they actively sought to have customs authorities seize Canadian Solar's exports of PV products to Europe.
The legal tussles stemming from patent disputes have become a common occurrence, aptly described by Wang Jun, a partner at Beijing Longnuo Law Firm, in a preceding interviewHe emphasized that patents operate as commercial weapons, serving companies' business interests, and pointed out that disputes typically arise through three principal channels: direct lawsuits, complaints to national intellectual property offices, and customs interception of suspected infringing goods.
According to InfoLink Consulting, JinkoSolar, JA Solar, Trina Solar, and Longi Green are at the forefront of global solar module shipments, with firms like Tongwei and Chint New Energy following closelyThese companies employ TOPCon technology in their product lines, thereby establishing a cutthroat competitive relationship among themselves.
JinkoSolar has become a pioneer in commercializing TOPCon technology, boasting that over 80% of its sales in solar modules during the first half of 2024 came from this technology
Conversely, while Longi Green continues to pursue multiple technological paths, it views TOPCon as one of many routes for productionHowever, they observed that large-scale expansion of TOPCon may be challenging to achieve distinctive competitive advantages, as reflected in their decision to set up a 30GW TOPCon manufacturing capacity in Ordos.
The rivalry between JinkoSolar and Longi Green has been longstanding, with both companies striving for dominance in module sales over the yearsBetween 2016 and 2019, JinkoSolar held the title of largest supplier, marking an unprecedented "four consecutive years" reign in this sectorHowever, Longi Green snatched the championship for three years straight from 2020 until 2022. In 2023, JinkoSolar regained its top position and is projected to maintain it in 2024.
Amidst these battles, both companies have publicly rallied for greater respect for intellectual property
Jinko expressed its firm commitment to safeguarding IP rights and favoring win-win scenarios through licenses and paid utilizations, condemning any opportunistic behavior devoid of courtesyLongi's Chairman Zhong Baoshan, during a 2024 SNEC exhibition, lamented the prior negligence in IP protection, referring to a prevalent "grab-and-go" mentality that diluted the innovation process in the industry and called for heightened protective measures.
An industry insider expressed that leading enterprises in the PV sector have accumulated significant technological resources related to TOPCon, hinting that mutual leverage exists among themThus, Longi Green is likely prepared for the ongoing patent dispute and might deploy countermeasures as part of its strategyThere is also an underlying concern regarding the duration of litigation processesIf the conflicting companies engage in lengthy legal wrangling over two to three years, the status of TOPCon as the leading technology may very well be challenged.
As of 2024, TOPCon technology has gained recognition as a mainstream innovation within the solar market, but competition remains fierce—complicated by the rising prominence of BC technology as an alternative
For the past two years, companies such as Longi and Aiko have aggressively promoted BC technology, securing patents ahead of mass production expected in 2025.
Notably, JinkoSolar has been pushing forward with the commercialization of perovskite/TOPCon tandem solar cell technologies while simultaneously rumored to be rolling out BC productsA technological expert highlighted that TOPCon and BC share synergistic capabilities, which could lead to their integrated evolution into a hybrid known as TBC (Tunnel Back Contact) technology, suggesting that forthcoming competition could intensify.
The future direction of the legal battles between Longi Green and JinkoSolar remains uncertainWill they reach an amicable resolution? Is there a possibility of patent sharing in relation to TOPCon and BC technologies? It largely hinges on each company's strategic considerations in line with evolving market dynamics.
As a side note, beyond the aforementioned patent conflict, there are three additional lawsuits involving JinkoSolar and Longi Green recorded on December 4, 2024, labeled with case numbers (2024) Su 05 Min Chu 1458, (2024) Su 05 Min Chu 1459, and (2024) Su 05 Min Chu 1461. However, as of this publication, both entities have refrained from providing explicit comments regarding these ongoing litigations.
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