Higher costs, sluggish market suspend silicon producers

SHANGHAI, Jul 4 (SMM) – A falling market and higher costs continued to push silicon producers in one of the Chinese major production areas of Fujian into closure, an SMM survey found on Thursday July 4. 

The south-eastern coastal province stopped providing preferential prices for large industrial enterprises last month. This grew costs at silicon producers and triggered suspensions since the end of June.  

Poor orders from silicon powder, high-end aluminium alloy producers in Fujian, major downstream consumers for silicon metal, also accounted for the suspension of local silicon mills. 

As of Thursday July 4, prices of non-oxidised #553 silicon in Fujian stood at 10,600 yuan/mt and that of #441 silicon at 10,800 yuan/mt, both down 50 yuan/mt from Wednesday July 3, SMM assessed.