This paper assesses the present and future market for household photovoltaic (PV) systems in rural Northwest China, especially from the PV commerce at Xining, Qinghai Province. This unsubsidised free market is now met by the emerging PV industry in China, which includes cell and module manufacturers, and PV system distributors and assemblers. For widespread deployment of such a renewable energy technology, the development of a local free market seems more successful than donor- or 'government subsidy'-driven programmes. Presently, there is a thriving infant PV industry in Northwest China, mostly centred in Xining. Xining-based PV sales companies have extensive networks for selling, marketing and servicing household PV systems for rural farmers and nomads. Small systems are now ordinary items on sale in local shops. Based on interviews and fieldwork observations with seven major PV sales companies in Xining, the household PV market is assessed from the present business operations of these companies. Detail of primary sources is given with the aim of archiving seminal progress in the history of photovoltaic power. The results suggest that although the household PV market will continue to grow, current government and international sponsored PV programmes can create both opportunities and barriers for the infant PV market and industry in China. (C) 2003 Elsevier Science Ltd. All rights reserved.