Competing in the solar energy market

We're not doing well. Two of our manufacturers of solar energy products have gone belly up in the past month, one, Solyndra, had the benefit of $1 billion in private capital and a $535,000,000 federal loan. The CEO says the problem is that there is too much supply, which has led to a price decrease of 42% since January 1. The Department of Energy says that China supplying interest-free loans to its manufacturers hasn't helped things especially when the European market seems to be shrinking because of smaller subsidies for solar power. It sounds to me as though we just couldn't compete but why is the question.

The chart below (created by the U.S. International Trade Commission) shows that we are still able to sell solar overseas. The problem is that in this country we also seem to prefer to buy foreign solar products.