Ingot furnace equipment supplier Beijing Jingyuntong Technology Co (JYT) has won an arbitration case against LDK Solar.
The struggling integrated PV module manufacturer has been told by the China International Economic and Trade Arbitration Commission (CIETAC) to pay JYT approximately US$47.1 million under a valid 2008 equipment supply contract and a further US$5.4 million in relation to legal fees.
Xingxue Tong, President and CEO of LDK Solar said, “With regret, we were unable to take delivery of the ordered furnaces as scheduled from JYT primarily due to slower than expected industry growth and the widely available capacity of other peers. LDK Solar is committed to innovation, quality and customer service. We have sufficient manufacturing capacity to support our valued customers and we will continue working with our vendors and customers, so that together we can overcome the challenges facing our industry.”
In June, 2012 JYT announced it was seeking compensation on equipment purchase orders that LDK Solar subsequently had not honoured. JYT said at the time that 461 ingot growth furnaces in the original purchase order with a total value of RMB 1.16 billion remained outstanding.