Dramatically decrease of Silicon material Prices Jan 07, 2022

Important News in Photovoltaic Industry

-Dramatically decrease of Silicon material Prices

The prices of Silicon material fell 9% in half a month, due to the major energy giants increased their capital and expanded production. Now the relationship between limited supply and high demand will continue to rise next year, which is conducive to profitability.

As we know, the prices of silicon materials and other upstream industry chains have risen in this year, resulting in lower photovoltaic installed capacity this year than expected. Recently, there are good news that silicon material has dropped again this week! According to the latest silicon material prices which released by the Silicon Industry Branch, the price of the domestic mono crystal compound

-feeding material ranged between 233,000-243,000 RMB/ton in this week, and the average transaction price dropped to 238,600 RMB/ton, representing a weekly decrease of 4.94%; The prices of dense materials ranged from 231,000 to 241,000 RMB/ton, and the average transaction price fall to 236,200 RMB/ton, a week-on-week decrease of 5.14%.

The imbalance between supply and demand of upstream & downstream has caused silicon materials to skyrocket

According to statistics, the output of polysilicon in the first three quarters of 2021 was 360,000 tons, year-over-year increase of 24.1%. The output of downstream silicon wafers, cells, and modules all increased by more than 50% year-over-year. This upside-down phenomenon has directly caused the supply of silicon materials to fall short of demand, and the price has increased several times.

On 30th November, Longji company took the lead in lowering the price of silicon wafers, and adjusted the price again within half a month, with a drop of more than 12%. Then another silicon wafer magnate which called Zhonghuan, also cut its price. This wave of price cuts for silicon wafers directly triggered the decline of silicon materials, as well as cells and other components.

According to news from the Silicon Industry Branch, silicon material companies had weak transactions for two consecutive weeks. Some silicon material companies had inventory backlogs. At the same time, some companies had released their expansion and increase. During the same period, silicon wafer companies maintained a relatively low operating rate, resulting in silicon material supply. The market relationship of demand over supply continued, so the price of silicon materials maintained a downward trend this week, while the upstream and downstream stalemate game began a few weeks later to destock a large number of orders, resulting in a relatively significant decline in the price of silicon materials this week.


These silicon wafer giants are reducing prices while expanding production. The shortage of silicon materials is expected to be alleviated in 2022, and the price of silicon materials is expected to continue to decline next year!

Xiamen Sweet Power Tech. Co., Ltd welcomes various companies & associations cooperate with our company to deeply discuss the situation tendency and policies of high quality energy development in the new era. Let us discuss the development opportunities of the integration of photovoltaic storage and charging under the new power system, promote new technologies, new products and innovative ideas in the photovoltaic industry, explore new development goals for the photovoltaic industry, and focus on achieving power liberalization and reducing carbon emissions in an all around way together.

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