LDK Solar Power Group appoints new chief executive

LDK Solar Power Group, the world’s largest producer of solar wafers, announced on Tuesday the appointment of a new chief executive officer in its latest effort to weather the crisis caused by worsening market conditions.

President and chief operating officer of LDK Tong Xingxue will replace Peng Xiaofeng as the new leader of the Jiangxi-based company. Peng will remain as chairman.

Separating the roles of chairman and CEO, and introducing an experienced executive will help strengthen the company’s administrative capacity and its position in the market, Peng said.

Tong joined LDK in 2007 and has more than 15 years of management experience in the solar industry. He has been serving as senior executive in both domestic and US companies.

Chinese solar companies have been struggling this year because of the sluggish European market. LDK reported $254 million losses in the second quarter this year, nearly twice as much as its losses in the same period last year.

Jiangxi provincial government lent a helping hand by setting up a special fund to provide financing support to LDK.

In turn, the company has strived to adapt to changing circumstances by selling some assets to pay debts. It also has cooperated with the state-owned Pingmei Shenma Group, which has led to speculation about a possible merger between the two.