[SMM Weekly Review: Polysilicon Prices Rise Amid "Anti-Cut-throat Competition" Quotations, Auxiliary Material Prices Expected to Rebound] This week, the price index for N-type polysilicon was 35.6 yuan/kg, with N-type recharging polysilicon priced at 36 yuan/kg and granular polysilicon at 34 yuan/kg. The increase in polysilicon prices was mainly influenced by the quotations from polysilicon enterprises, which were based on self-regulation and cost-based pricing. On July 1st, the government held the sixth meeting of the Central Financial and Economic Affairs Commission, where it once again mentioned "anti-cut-throat competition" and the need to regulate enterprises' low-price and unnecessary competition in accordance with laws and regulations, which also played a certain role in promoting the market. Currently, wafer enterprises have not yet universally and formally accepted the quotations, and subsequent transactions remain to be seen.

[SMM Weekly Silicone Review: Costs Rise Along with Downstream Demand Entry, Short-term Prices Maintain Fluctuating Trend] This week, domestic DMC prices were quoted at 10,300-10,600 yuan/mt, remaining stable WoW. This week, DMC prices quoted by monomer enterprises in Shandong were 10,300 yuan/mt, with prices temporarily stable. This week, DMC prices quoted by other monomer enterprises in China were 10,400-10,600 yuan/mt. This week, domestic market prices temporarily remained stable. After the entry of rigid demand in the market in the early stage, the market transaction enthusiasm declined somewhat this week. In addition, there has been a significant increase in supply recently, and the market supply surplus has begun to manifest. However, silicone costs have risen recently, so it is expected that DMC prices will fluctuate rangebound in the near term.

On July 1, Hangzhou New Energy Investment and Development Co., Ltd. announced the shortlisted candidates for the centralised procurement of PV modules for 2025. The project was divided into two sections. The shortlisted candidate for Section 1 was Chint New Energy Technology Co., Ltd., with a bid price of 92,996,640 yuan and a unit price of 0.70452 yuan/W. The shortlisted candidate for Section 2 was GCL SI Technology Co., Ltd., with a bid price of 62,568,000 yuan and a unit price of 0.711 yuan/W.

[Daily Review of ADC12 Prices: Aluminum Futures Rise Amid Volatility, While Secondary Aluminum Spot Market Remains Sluggish in Upswing] On the spot market, the SMM A00 aluminum price rose by 30 yuan/mt from the previous day to 20,810 yuan/mt; the SMM ADC12 price range held steady at 20,000-20,200 yuan/mt. Although aluminum prices edged up slightly today, the secondary aluminum market struggled to catch up, with quotes generally remaining stable.

After the market opened on the morning of July 2, the main polysilicon futures contract surged rapidly. By around 13:48 in the afternoon, it had risen sharply and hit the daily price limit, ultimately locking in a 6.99% increase and closing at 35,050 yuan/mt, marking its first daily price limit since the listing of polysilicon futures. Regarding the reasons for the significant surge in polysilicon futures prices, SMM believes that it is mainly related to the following points: In terms of news, according to Xinhua News Agency, on the morning of July 1, General Secretary of the Communist Party of China Central Committee, President of the People's Republic of China, Chairman of the Central Military Commission, and Director of the Central Commission for Financial and Economic Affairs, Xi Jin

[June silicon metal production] According to SMM market exchanges, the silicon metal production in June 2025 was 327,700 mt, up 6.5% MoM and down 27.7% YoY. The cumulative silicon metal production from January to June 2025 was 1.8728 million mt, down 17.8% YoY.

On June 27th, the SANY Silicon Energy 2GW High-Efficiency Crystalline Silicon PV Module Production Site located in Nanjiang County officially commenced operations. To enhance the power of the modules, the project adopted a combination of the most cutting-edge edge passivation technology, rapid water cooling technology, and half-cut cell technology in the industry, resulting in an 8-10W increase in module power. The application of double-glass lamination technology has upgraded the modules from single-glass to double-glass, effectively isolating moisture penetration and extending the module lifespan from 25 years to 30 years.

[Daily Review of ADC12 Prices: Cast Aluminum Alloy Futures Rise Slightly, Spot Market Shows Mediocre Performance] In the spot market, the SMM A00 aluminum price remained flat at 20,780 yuan/mt; the SMM ADC12 price range held steady at 20,000-20,200 yuan/mt. Today, aluminum prices remained stable, with limited fluctuations in the raw material end of ADC12. Mainstream quotations in the market were mostly unchanged, but actual transactions were sluggish.

By the end of 2024, China's actual installed capacity for primary silicon metal production was 8.5 million mt/year, with a production volume of 4.72 million mt/year. The capacity for polysilicon production was 2.87 million mt/year, with a production volume of 1.84 million mt/year. The capacity for wafer production was 1,170 GW/year, with a production volume of 718 GW/year. China's share of global capacity in these areas exceeded 85%, 94%, and 97% respectively. Among them, the production share of silicon metal and polysilicon increased by 14.6 percentage points and 18.8 percentage points respectively compared to 2020, while the production volume of wafers increased 3.5 times compared to 2020. The top two silicon metal enterprises, the top seven polysilicon enterprises, and the top ten monocrystalline silicon enterprises in terms of global capacity are all rooted in China. Moreover, key enterprises have invested and made arrangements in Southeast Asia, the Middle East, and other regions, forming a new development pattern of "Chinese technology + global layout.

According to SMM, in order to break the "cut-throat competition", leading domestic PV glass enterprises plan to collectively cut production by 30% starting from July. In addition, the number of enterprises planning to block their furnaces has begun to increase. It is expected that the domestic PV glass supply will decline rapidly, and the domestic supply-demand imbalance will be improved. It is projected that domestic glass production will drop to around 45GW in July.