Silicon plants in Sichuan resumed, the regional operating rate  has steadily improved

According to the SMM survey, the weekly output of sample silicon enterprises in Xinjiang (accounting for 79% of total capacity) was 43,555 mt last week, with a weekly operating rate of 99%, a slight increase WoW. The factory inventory increased WoW, but the growth rate narrowed compared to the previous week. Leading silicon enterprises in Xinjiang maintained a high operating rate, and the capacity release from newly resumed furnaces recently boosted the weekly operating rate. In terms of inventory, some sources were gradually delivered to futures warehouses, and some inventory was transferred to delivery warehouses. Meanwhile, large factories offered discounts, improving trading volume from a week ago, and the growth rate of factory inventory in the region slowed.

The weekly output of sample silicon enterprises in Yunnan (accounting for 30% of capacity) was 3,675 mt, with a weekly operating rate of 43%, flat from a week ago. The factory inventory slightly decreased WoW. The costs, including electricity prices in Yunnan, remained high, and there were no new resumptions of production among the sample silicon enterprises during the week. Local silicon enterprises' quotations remained firm, with a low willingness to sell at significant discounts.

The weekly output of sample silicon enterprises in Sichuan (accounting for 32% of capacity) was 1,855 mt, with a weekly operating rate of 28%, a significant increase WoW. The factory inventory slightly decreased WoW. Some enterprises were actively selling, with orders gradually being fulfilled. Entering the flat water period, many silicon enterprises ignited and resumed production in early May, and recently started producing, significantly improving the regional operating rate. Additionally, some silicon enterprises are expected to resume production in late May, and the regional operating rate is expected to steadily improve.