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[SMM analysis] the stalemate continues near the flood season in Silicon City.
May 22,2020 15:32CST
The content below was translated by Tencent automatically for reference.

SMM5 May 22: the price of silicon of all brands is basically stable this week. The transaction price of non-oxygenated silicon in East China is 10400 yuan / ton, and that of oxygenated silicon is 11000 yuan / ton. Low-grade metal silicon, which rose slightly last week due to less spot stock, has returned to stability this week. Most of the old orders signed by silicon factories have been handed over this week, and the number of non-oxygen 55 silicon spot has increased.

A factory in Xinjiang temporarily shut down production last week due to equipment reasons and has gradually resumed this week, with monthly output expected to be reduced by about 3000 tons month-on-month, with little impact on the market. Early next week, electricity prices in Sichuan will be lowered to the flood season, and some silicon plants plan to fire up, compared with Yunnan Dehong's resumption of production a week later. The market focuses on the resumption of production in Sichuan-Yunnan Silicon Plant after the arrival of the flood season, so most buyers hold a wait-and-see mentality before the arrival of the flood season in recent weeks, and it is more common to reduce the inventory of raw materials and postpone the purchase time.

Due to the lack of rainfall in southwest China this year, the shortage of power supply in some areas has objectively delayed the resumption of production of silicon plants, and problems such as low profits and poor demand have reduced the expectations of silicon plants to start construction, so the process of production release in Yunnan and Sichuan may be relatively slow.


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