Silicon Metal Market Under Pressure in Stalemate, Silicon Wafer High-Price Range Weakens [SMM Silicon-Based PV Morning Meeting Summary]

SMM, June 24 –

Silicon Coal

Prices:

This week, silicon coal prices in some regions still showed an upward trend. Last week, with the increasing support from coking coal on the cost side, silicon coal prices in most regions saw increases of varying degrees. Specifically, in Gansu, granular silicon coal rose 10 yuan/mt to 1,120 yuan/mt, and blended silicon coal rose 50 yuan/mt to 1,040 yuan/mt; in Inner Mongolia and Ningxia, granular silicon coal rose 20 yuan/mt to 1,340 yuan/mt. The average price of silicon coal in Shaanxi was about 850 yuan/mt, while prices in Shanxi ranged from 1,500 to 1,700 yuan/mt. Prices in Xinjiang remained stable. As the raw material side remained strong, silicon coal prices in some regions continued to show an upward trend.

Supply: Overall supply showed regional divergence. In some regions where silicon coal is not the primary product, enterprises mainly maintained produce-based-on-sales shipment pace. In contrast, in regions such as Shaanxi and Xinjiang, some coal washing plants faced weak demand and slow shipments, leading to significant inventory pressure.

Demand: Driven by production resumptions at some silicon plants in south-west China during the rainy season, overall demand edged up slightly. However, the silicon metal market remained sluggish, so procurement remained largely need-based.

Silicon Metal

Prices: Yesterday, SMM’s quotes in east China for oxygen-blown #553 silicon were 9,100–9,200 yuan/mt, and for #441 silicon were 9,300–9,400 yuan/mt. On the futures market, the most-traded contract hovered around 8,500 yuan/mt. Silicon metal prices continued to move sideways in a narrow range, with no new news-driven disruptions recently, leaving prices in a stalemate between rises and falls. Increasing supply weighed on prices in the short term.

Production:

During the rainy season, some silicon producers in Sichuan and Yunnan gradually resumed production, while operating rates at northern silicon enterprises remained largely stable. Production resumptions in the southwest pushed up the operating rate of the silicon metal industry, leading to a continuous increase in silicon metal supply.

Inventory:

Social inventory: According to SMM statistics, as of June 18, social inventory of silicon metal in major regions totaled 559,000 mt, down 1,000 mt WoW (excluding Inner Mongolia, Ningxia, Gansu, etc.). In July, supply growth is expected to outpace demand growth, putting slight inventory buildup pressure on the silicon metal industry.

Prices

DMC: The most-traded price was 14,000–14,300 yuan/mt, with an average of about 14,150 yuan/mt. The silicone market remained in an intensifying tug-of-war between sellers and buyers. On the supply side, emission-reduction measures caused unit shutdowns and load reductions, tightening supply, but demand dragged significantly, providing only weak support. Downstream purchasing sentiment was cautious and sluggish, resulting in an overall subdued market.

D4: Quoted price yesterday was 14,200–15,000 yuan/mt, with an average of about 14,600 yuan/mt.

107 Silicone Rubber: Quoted at 14,300-14,500 yuan/mt yesterday, averaging approximately 14,400 yuan/mt.

Raw Silicone Rubber: Quoted at 15,000-15,400 yuan/mt yesterday, averaging approximately 15,200 yuan/mt.

Silicone Oil: Quoted at 15,700-16,500 yuan/mt yesterday, averaging approximately 16,100 yuan/mt.

Production:

Currently, emission reduction efforts on the silicone supply side are diverging, with the overall trend remaining contractionary. Most monomer enterprises have shut down, reduced loads, or entered annual maintenance, while only a few maintain low-load production. According to SMM data, DMC production declined approximately 4% WoW last week. Supply contraction provides some support to prices, but the support is relatively weak due to persistently sluggish demand.

Inventory:

Amid an overall sluggish market for transactions, upstream enterprises are seeing slow shipments, with inventory pressure gradually emerging for some monomer players. Approaching month-end, if rigid demand is released intensively, it could temporarily ease inventory pressure; if weakness persists, pressure may intensify further.

Polysilicon

Price:

Over the weekend, N-type recharging polysilicon was quoted at 32-34 yuan/kg. Order signing is gradually getting underway in the market, but downstream players still maintain a certain push for lower prices. Currently, the market holds a slightly bearish outlook on the upcoming order signing, as downstream inventories are ample and the intention to sign orders is limited.

Production

In June, China's polysilicon production rose markedly, mainly reflected in increased output in regions such as Sichuan, Qinghai, and Inner Mongolia, while new expectations for production cuts at some bases in Xinjiang emerged later.

Inventory:

Inventory began to build up, with limited order signing and limited orders being executed. However, after shipments, inventories of some top-tier players dropped to around 100,000 mt.

Wafer

Price

Market prices for wafers are 0.86-0.9 yuan/piece (18X), 0.96-1.00 yuan/piece (210RN), and 1.16-1.20 yuan/piece (210N). Small factories have already started transactions at lower prices, with the 18X wafer segment bearing the most severe pressure and showing a further downward trend at the high end of the overall range.

Production

According to SMM's latest survey, the wafer production schedule in June is expected to be around 54 GW. Except for one enterprise cutting production, most other enterprises are steadily increasing output. Overall wafer supply slightly exceeds demand, and July is expected to see a trend toward production cuts in the wafer segment.

Inventory

Wafer enterprises show diverging trends in inventory buildup. Order demand for bonded zone inventory outside China is marginally weakening, while the recent surge in ocean freight rates has put wafer shipments under pressure.

High-Purity Quartz Sand

Price

Currently, China's inner-layer sand price is 40,000-45,000 yuan/mt, middle-layer sand price is 20,000-24,000 yuan/mt, outer-layer sand price is 16,000-18,000 yuan/mt, while imported high-purity quartz sand price is 50,000-55,000 yuan/mt. The price of 33-inch quartz crucibles is 6,000-6,200 yuan/piece, and the price of 36-inch quartz crucibles is 6,700-6,900 yuan/piece. Overall sand prices remain stable.

Production

In June, planned production by quartz sand enterprises is expected to maintain a slight increase. Influenced by the increase in wafer production schedules, several crucible manufacturers have reported an improvement in order demand. Domestic high-purity quartz sand enterprises are aligning production plans with wafer demand. Recently, demand for PV-grade high-purity quartz sand used in semiconductors has been picking up and increasing.

Inventory

In June, imported sand inventory continued to increase. In Q2 2026, crucible enterprises are making reasonable purchases based on planned wafer production, and overall quartz sand inventory levels continue to rise.