Silicon producers in Sichuan remain closed despite lower electricity costs

Published: Apr 28, 2020 11:54

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Southwest China’s Sichuan province lowered electricity tariffs to the normal season mode on Saturday. There were barely any silicon producers in the region stepping up production, SMM research found, due to weak silicon prices and limited power supply caused by continued drought.

SHANGHAI, Apr 28 (SMM) – Southwest China’s Sichuan province lowered electricity tariffs to the normal season mode on Saturday.

There were barely any silicon producers in the region stepping up production, SMM research found, due to weak silicon prices and limited power supply caused by continued drought.

Producers in Liangshan and Ya’an said that they could not see profits at the current electricity tariff level and will not recover production until June when electricity tariffs are adjusted to the wet-season level.

SMM assessed prices of non-oxidised 553# silicon in Sichuan at 9,900-10,000 yuan/mt as of April 28, down more than 12% from the recent peak of 11,350 yuan/mt seen in late February to early March.

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