This week, the overall prices of polysilicon have increased significantly. Both multi and mono-grade polysilicon were in excess demand in the market. Regarding the multi polysilicon, due to the recent supply problems of multi polysilicon manufacturers, the supply of multi polysilicon was tight. However, this was only temporary. In the long run, the price of multi polysilicon has limited room for recovery. As of mid-July, the price of multi polysilicon has increased by more than 10% from the market price in June. And the average price has climbed to RMB 39/KG this week. The mono-grade polysilicon price increased because the manufacturing capacity of downstream wafer manufacturers has been becoming available, which led to an increase in demand for polysilicon. Both the highest and lowest prices of mono-grade polysilicon in the market have increased by RMB 2/KG, which made the price range between RMB 59-63/KG. The average price rose to RMB 60/KG this week.
For the overseas market of polysilicon, the market price rose to US$6.7-7/KG due to the increase in the price of Chinese polysilicon and the delay of companies in the production resumption. The global polysilicon price has exceeded US$7 per kg, and the average price has increased to US$7.175/KG at the moment.
This week, the wafer market prices were generally stable. The prices of G1 and M6 mono-Si wafers continued to trade sideways at RMB 2.5/pc and RMB 2.55/pc. The upstream polysilicon market has rebounded in the past two weeks. And the downstream cell market was in short supply. Therefore prices have risen slightly, making wafer manufacturers eager to increase prices. However, there was no significant increase in the transaction volume of the mono-Si wafer market at the moment. The shipments of manufacturers have remained stable. And the actual sale prices have not yet shown a clear upward trend. Regarding the multi-Si wafers, although the demand was showing signs of recovery, it was limited by the downstream industry chain. It was difficult to increase the wafer price as the price of the upstream polysilicon increases. The average price of the product remained stable at RMB 1.18/pc.
This week, the prices of mono-Si solar cells increased significantly, and the prices of G1 and M6 increased simultaneously. In the past two weeks, the demand for M6 has continued to rise. And the market price has risen to RMB 0.81-0.87/W. And the average price has risen to RMB 0.82/W. The average price of G1 mono-Si cells has also increased to RMB 0.82 /W, but the increase was not as large as that of M6 cells. The main reason was that the downstream module segment had significantly increased demand for high-efficiency mono-Si wafers. Currently, M6 products were already the hottest-selling products in the peak season. Modules with M6 cells accounted for a rising proportion of the auction projects in the Chinese market, which has become a mainstream trend.
Additionally, the modules with 180-210mm cells entered the production stage one after another in the third quarter. And the supply speed of large-size cell products was accelerated. Coupled with demand from the projects in the end market, the demand for large-size cells will be driven higher.
The prices of some modules continued to fall this week, but the overall decline has narrowed. Regarding the market for complementary materials of modules, the demand for photovoltaic glass, especially for the subsequent thin-film products, has increased to some extent, on account of the promotion of bifacial products of leading companies and the impact of the increased demand for bifacial products in all the regional markets. Some suppliers have raised their quoted prices for 2.0mm glass, while manufacturing capacity of the leading encapsulant manufacturers was also approaching its limit. It is estimated that the price will start to rise, after the inventory of module manufacturers is basically cleared out.
Judging from the recent auction projects in the Chinese market, high-efficiency mono-Si modules were still the most favored, especially M6 high-efficiency modules, accounting for nearly 40% of the total. Judging from this market share, the price stability of mono-Si modules has increased. As the overseas market recovered, the order visibility has further increased. Most of the first-tier manufacturers have indicated that the orders in their pipelines were up to mid-August. While mono-Si modules were booming, the prices of multi-Si modules did not rise due to the recovery of the downstream market. Compared with mono-Si, the prices of multi-Si modules slightly weakened. The general multi-Si (275W-280W) modules both fell marginally to RMB 1.26-1.37/W and US$0.174/W in both Chinese and non-Chinese markets.
(Analysis provided by Sharon Chen, analyst at EnergyTrend. Translated by Emma Hsu, translator of TrendForce Corp.)