Affected by the number of days, silicon metal production in February decreased MoM, and supply continued to strengthen in March [SMM Analysis]

SMM February 28 News: According to SMM market communication, silicon metal production in February 2025 reached 289,500 mt, down 1.45 mt or 4.8% MoM, and down 16% YoY. Cumulative silicon metal production from January to February 2025 totaled 593,600 mt, down 97,000 mt or 14% YoY.

The MoM decrease in February silicon metal production was mainly due to fewer production days. However, based on daily average production, February's daily average outperformed January. In February, only a few silicon enterprises experienced production cuts or shutdowns, while most maintained stable operating rates. Due to maintenance and resumption of production or new capacity additions by top-tier enterprises in Xinjiang and some newly commissioned capacities, the daily supply of silicon metal continued to increase.

By province, silicon enterprises in Xinjiang, Inner Mongolia, and Gansu showed high operating rates, with cumulative supply from these three regions accounting for over 80%. Meanwhile, the supply share from Sichuan and Yunnan was less than 6%. High costs for southern silicon enterprises, combined with a sluggish silicon metal market, have sustained the dominance of northern supply in recent months.

In March, with the production release from newly resumed silicon furnaces and additional resumption of production by some silicon enterprises, coupled with an increase in production days, silicon metal production is expected to see a significant increase, reaching approximately 340,000 mt.