Polysilicon and Silicon Wafer Production Schedule Decrease in June

Silica

Price: Silica prices remained stable. Recently, some silicon companies in Ya'an, Sichuan plan to resume production. The demand for silica in south-west China remains high, while some silicon companies in north-west China that had previously halted production have not yet resumed. Together with large silicon companies mainly using their own silica, the demand for silica in northern China remains relatively low. Currently, the ex-factory prices for low-grade silica in Yunnan are 340-360 yuan/mt. The ex-factory prices for high-grade silica in Inner Mongolia are 400-420 yuan/mt, in Hubei are 420-480 yuan/mt, and in Guizhou are 300-340 yuan/mt.

Production: Mining operations are normal, with deliveries mainly based on orders.

Inventory: Silicon companies in south-west China have replenished their raw silica inventory. Some silicon companies in Sichuan have resumed production, while others remain on the sidelines. The demand for raw material procurement is gradually recovering.

Industrial Silicon

Price: Yesterday, SMM price for above-standard #553 silicon metal in east China East China oxygenated 553# silicon was priced at 13,000-13,200 yuan/mt. The price of the most-traded contract for industrial silicon remains high. Together with an increase in hedging orders, sales pressure has decreased, stimulating a strong sentiment for price increases among silicon companies. Downstream users are mainly digesting inventory and are cautious about restocking as needed, with spot transactions being moderate.

Production: In May, silicon companies in Sichuan gradually resumed production, increasing the operating rate. The operating rate in south-west China is expected to continue to rise in June, leading to a relatively ample supply.

Inventory: Social inventory: As of May 24, SMM statistics show that the national social inventory of industrial silicon was 386,000 mt, up 7,000 mt MoM. Among them, social warehouses held 106,000 mt (flat MoM), and social delivery warehouses held 280,000 mt (including unregistered warrants), up 7,000 mt MoM.

Silicone

Price

DMC: Current price is 13,300-13,900 yuan/mt, with a slight decrease this week.

D4: Current price is 14,300-14,500 yuan/mt, stable this week.

107 silicone rubber: Current price is 13,700-14,300 yuan/mt, stable this week.

Methyl vinyl silicone rubber: Current price is 14,100-14,700 yuan/mt, stable this week.

Silicone oil: Current price is 14,500-15,300 yuan/mt, stable this week.

Production: This week, the supply side maintained high operating rates. Domestic monomer plants are operating at high loads, with no new capacity under maintenance. The output of new facilities is stable, and supply is expected to continue increasing.

Inventory: Inventory continues to increase this week. Downstream companies have not yet consumed their raw material inventory and have not entered the market for procurement.

Polysilicon

Price

Yesterday, the mainstream price for N-type polysilicon was 40-44 yuan/kg, and for dense polysilicon was 34-38 yuan/kg. The price of N-type polysilicon remained relatively stable, with minor fluctuations. Increased maintenance by large factories is expected to significantly reduce polysilicon production in June, providing some support for prices.

Production

In June, more manufacturers will undergo maintenance, with production expected to decrease by more than 20% MoM.

Inventory

Downstream procurement frequency has increased, with some traders entering the market, leading to a reduction in polysilicon inventory.

Silicon Wafer

Price

The market price for N-type 182 silicon wafers fell to 1.1-1.2 yuan/piece, and for N-type 210 silicon wafers fell to 1.8-1.85 yuan/piece. Silicon wafer prices remained relatively stable, with minor fluctuations. Market sentiment for bottoming out has increased, and the resistance to price declines is evident.

Production

Integrated companies are implementing production cuts, while most specialized companies maintain low operating rates. Silicon wafer production in June is expected to fall below 55GW.

Inventory

Silicon wafers showed a slight destocking effect.

High-purity Quartz Sand

Price

This week, high-purity quartz sand prices remained stable. Domestic inner layer sand prices are 170,000-210,000 yuan/mt, middle layer sand prices are 100,000-130,000 yuan/mt, and outer layer sand prices are 24,000-50,000 yuan/mt. Domestic transactions are generally stable.

Production

Recently, the domestic and overseas supply of high-purity quartz sand both has been relatively stable. Future supply will increase due to the ramp-up of new capacity.

Inventory

In terms of inventory, the quartz sand market transactions were moderate this week, and the inventory of sand companies remained relatively stable.