Solar stocks plunged around the world after Germany, the largest market for panels, said it will make quicker cuts to subsidized rates and phase out support for the industry by 2017.

Chinese manufacturers listed in New York led the declines after the announcement, with Trina Solar Ltd. (TSL) falling 16 per cent and JA Solar Holdings Co. dropping 15 per cent. GCL- Poly Energy Holdings Ltd., which makes the raw material for most panels, slid the most since November in Hong Kong. In Europe, Meyer Burger Technology AG (MBTN), Solarworld AG (SWV) and SMA Solar Technology AG (S92) fell.

German Environment Minister Norbert Roettgen said he planned to reduce feed-in tariffs providing above-market prices for solar power every month instead of twice a year as he does now. He said he’s working to curb an “unacceptable” surge in installations last year, Bloomberg reports.

Yesterday’s decision indicated ministers speeding up work on restraining the boom in installations after developers added 7.5 GW of panels last year, surpassing the 3 GW that Roettgen said would be acceptable.

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