| Category | |
|---|---|
| Author | InfoLink |
| Updated | June 17, 2020 |
Polysilicon
Polysilicon prices for mono-Si wafers were almost consistent this week with their previous levels, sitting at RMB 58–60/kg in the market and averaging RMB 59/kg. While its prices have recently picked up in the market, polysilicon for mono-Si wafers remains moderate in supply because producers all maintain certain levels of stock and those having undergone maintenance in the previous week are coming back up and running.
Meanwhile, mono-Si wafer makers have signed contracts for June, and few new deals have been clinched recently. Some Tier-1 mono-Si wafer makers are going to strike new deals between the end of this week and next week; until then the actual trading price cannot be ascertained.
Polysilicon prices for multi-Si wafers remained stable this week, staying at RMB 28–30/kg in the market and averaging RMB 29/kg—as operating multi-Si wafer makers were running at low capacity and new polysilicon deals were clinched due to recovering end-market demand.
This week’s overseas polysilicon prices maintained an average of USD 6.7/kg for mono-Si wafers and USD 4.6/kg for multi-Si wafers because most customers only made requests for quotes and so not much deals were signed.
Wafer
Multi-Si wafer makers said that they are receiving more orders than in May. This points to the gradual recovery of multi demand. However, considering their current supply/demand, multi-Si wafer prices have yet achieved much increase. The prices sat at RMB 1.05–1.15/piece and averaged RMB 1.1/piece this week. Operating producers are running at low capacity; most of them are operating near or even below their break-even points. Hit by a series of price declines, small producers have come close to elimination while bigger producers become more dominant in the market.
Mono-Si wafer prices did not change much this week. They hovered at RMB 2.36–2.52/piece for G1 and 2.52–2.61/piece for M2 in China. Tier-1 makers are going to release their prices for July next week, which will have a momentous influence on polysilicon and wafer sectors. With operating makers running at full capacity and bringing online new production lines, mono-Si wafer prices are likely to go down. Meanwhile, as end users’ requirement on high-power modules is penetrating the wafer sector, demand for the M6 wafer is rising these days. Such wafer will see its market share growing and, alongside its G1 counterpart, gain mainstream usage.
Cell
Mono-Si cell prices remained stable this week, staying at RMB 0.79–0.8/W for G1 and RMB 0.8/W for M6 in China and averaging USD 0.1/W in overseas markets for both sizes. The prices will hold up for a short period of time as some PV projects from the June 30 installation rush will be installed in early July, helping to raise the volume of orders for cell makers. However, the prices may relapse into gradual decline in the middle of July, when demand is expected to shrink.
The G1-sized mono-Si cell retained the same average price this week as it had in the previous week, although it sustained a decrease of RMB 0.01/W in the high-priced end. The M2-sized mono-Si cell remained as popular as ever, with its trading price having climbed fractionally for some deals. The cell was said to have even fetched RMB 0.84/W, so its price achieved a small decrease in the high-priced end this week. However, the upward trend in the M2 mono-Si cell price, brought by the strong demand in China, will subside after the end of June 30 installation rush. Demand for such cell will then depend largely on overseas orders, so its price will decline gradually.
Multi-Si cell prices will remain stable for a short while as demand is picking up. The prices stayed at RMB 2.25–2.3/W this week.
Module
Overseas demand for modules remains stable, according to PV InfoLink’s May China customs data. Module demand remains strong in the U.S. and Japan; in other overseas markets it may start to recover each month from Q3 onwards. But since India and Latin American countries, which are supposed to be critical markets this year, are still in the grip of the COVID-19 pandemic, it is uncertain how far overseas module demand can recover.
As Chinese module demand remains strong, Tier-1 producers are expected to run at high capacity in July. However, the market outlook for August depends on how well the COVID-19 pandemic is tackled around the world and how Chinese demand fares.