German wind power company Repower is to pull out of turbine manufacturing in China as it predicts a sharp reduction in the number of players in the market.

The company’s chief executive in China Wolfgang Jussen said turbine manufacture in the country was now out-stripping demand. “We’re not going to keep doing business in China when we have to take heavy losses just to install turbines,” he told the Financial Times.

Repower’s decision comes as experts forecast that the number of wind installations in China will radically fall because of the number of number of manufacturers, said to be more than 60.

Jussen said that the Chinese government recognised that this pace of growth “has a downside”. “A lot of the poor suppliers are going to die, washed out by quality demands from the government. In the end, this market will have maybe 10 mature Chinese players and a few foreigners.”