How Will the Reduction in Auxiliary Material Costs Reshape Module Cost Structures After the April Inflation Bubble Bursts? [SMM In-Depth Analysis]

March 17, 2025 – April 18, 2025

• Integrated enterprises (wafer-cell-module) full costs drop to 0.733 RMB/W.

• Semi-integrated enterprises (cell-module) full cost increase to 0.728 RMB/W.

• Specialized enterprises full costs increase to 0.719 RMB/W.

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SMM data indicates:

• Auxiliary materials:

  • 2.0mm double-coated glass prices increased by 0.25 RMB/m².

  • 36-inch quartz crucible prices decreased by 240 RMB/unit.

  • Solar front-side silver paste prices dropped by 313.8 RMB/kg.

  • Solar back-side silver paste prices fell by 209.4 RMB/kg.

  • PV frame prices declined by 1,182 RMB/ton.

• Core materials:

  • N-type 183mm wafers rose by 0.08 RMB/piece.

  • Monocrystalline TOPCon 183mm cells increased by 0.007 RMB/W.

【0.006 RMB/W Reduction in Non-Silicon Costs Helps Lower Module Costs】

Integrated module enterprises (wafer-cell-module) saw a decline in full costs, primarily due to price drops in most auxiliary materials (except double-coated glass), reducing non-silicon costs by 0.006 RMB/W. Core material costs remained stable because of polysilicon prices were unchanged.

During this phase of the PV industry’s downward cycle, the cost inversion between specialized module manufacturers and vertically integrated firms persists, though the gap is narrowing. Current spot module prices (excluding shipping) are close to total costs, with some forward orders for May delivery already falling below full costs, leading to losses of 0.01–0.02 RMB/W for certain low-priced contracts.

【Post-Inflation Bubble, Auxiliary Material Prices Enter Cyclical Reversal】

Looking ahead, as the inflationary bubble bursts, commodity prices are expected to undergo a cyclical reversal. With auxiliary material prices continuing to decline and core materials (silicon/wafer/cell) pressured by the PV downturn, module costs are likely to decrease further.

Additionally, accelerated adoption of new technologies (such as BC and HJT), combined with economies of scale and vertical integration advantages, will gradually narrow—or even reverse—the cost gap between specialized and integrated players.