According to the latest survey conducted by EnergyTrend, a research department of TrendForce Corp., the decrease in the polysilicon price was limited, which was not in line with downstream PV manufacturers’ expectation. Besides, since the polysilicon spot market is still led by the sell side, the price remained at relevantly high level as a result. On the other hand, the movement of cutting prices to get orders has started. The close price of Si wafer has dropped below $3.0/piece, and the close price of cell has decreased below $1.0/Watt, which can signal that the price pressure still remained.
The price of polysilicon has decreased by 2.43% to $75.25/kg. However, since major manufacturers have cut price to get orders, the average price of Si wafer has obviously decreased. The average price of multi-Si wafer has decreased by 6.31% to $3.12/piece, and the average price of mono-Si wafer has decreased by 8.08% to $3.401/piece. Moreover, in terms of solar cell, the lowest spot price has reached $0.95/Watt, and the average price has fallen by 2.92%, to $1.096/Watt. Since major manufacturers have continued to cut price in order to compete for orders, Analysts from EnergyTrend believe that the average price will probably drop further. In addition, price fluctuation in the module market still remained. The lowest spot price has dropped to $1.4/Watt, and the average price continued to decline by 2.07%, to $1.512/Watt. Finally, the price of thin film has been influenced, and average price has gone down by 5.45%, to $1.18/Watt.
According EnergyTrend’s observation, wafer and cell manufacturers are now faced with a price war where those with economies of scale take cost advantages over other smaller manufacturers to cut prices in order to receive orders. The average cell price has gone nearly $1.0/Watt. On the other hand, manufacturers that have weakness on cost management can only follow the price reduction or reduce their utilization rate. As a result, smaller manufacturers can hardly avoid losses under such circumstances.
The Italian government will release the official subsidy policy in the end of April, and the German government will decide whether they will further decrease subsidy in June as well. These uncertain factors in subsidy policies are expected to be solved in the first half of the year, and it will help market demand recovery in the latter half of the year.