Foxconn’s Solar Bid May Cut Industry Margins - Bloomberg

Foxconn Technology Group’s decision to start making solar power modules may speed the rate at which margins are narrowing for Chinese manufacturers, another blow for an industry already coping with a plunge in prices. The Taiwanese company that’s the world’s biggest contract maker of electronics including Apple Inc.’s IPhone started work on a solar-module plant in China’s eastern province of Jiangsu near the headquarters of Suntech Power Holdings Co. (STP), the largest silicon-based module manufacturer. “Foxconn plans to build new factories with undreamed-of scale and lower cost,” Jenny Chase, who leads a team of six solar analysts at Bloomberg New Energy Finance, said yesterday. “It will push capacity higher and prices lower.”