| Category | |
|---|---|
| Author | InfoLink |
| Updated | July 06, 2022 |
Polysilicon
Polysilicon prices jump this week on excess demand and adverse impacts that hold back the growth of real polysilicon supply during July and August.
At the turn of the month, sellers and buyers have been signing orders since later last week. Most major manufacturers seal monthly orders under long-term contracts. Prices surged to RMB 284-290/kg for mono-grade polysilicon, and to RMB 288-294/kg for recycled polysilicon scraps. Some major polysilicon manufacturers have raised price quotes to RMB 295-298/kg. Overall, polysilicon prices rise by 4.8-6.5% this week.
The ingot segment shows moderate price acceptance for the time being towards increased polysilicon prices, given raw material shortage and the necessity to continue production. Meanwhile, the wafer sector raises prices timely, in advance of raw material price hikes.
Investigation of InfoLink focuses on polysilicon orders delivered during the previous Thursday and this Wednesday and recently signed orders. Therefore, changes and future price trend will gradually emerge during periods of higher order volume.
Wafer
Leading wafer manufacturer Zhonghuan released official pricings on June 24. Thicknesses of p-type wafers in all sizes are reduced to 150-155μm. Prices for 182mm mono-Si wafers with a thickness of 155μm are revised upwardly by RMB 0.44/piece to RMB 7.25/piece, a 6.4% increase. The 210mm/155μm format sees prices reaching RMB 9.55/piece, up by RMB 0.50/piece, a 5.5% increase.
Longi, another leading manufacturer, posted official pricings on June 30, raising prices for 182mm mono-Si wafers with a thickness of 160μm by RMB 0.44/piece to RMB 7.3/piece, a 6.4% price increase.
Uncertainties dissipate over the market, as mainstream mono-Si wafer prices have settled for now. Tier-2 and Tier-3 wafer manufacturers keep prices close to the low-price range of leading manufacturers.
Wafer production volume is expected to see very little increase this month, sustaining at 26 GW, as subject to raw material supply. With limited mono-Si wafer supply, prices in the upstream are not likely to drop in the short term.
Cell
Cell price trend is clear, with 4-7% of increases for all formats, in accordance with that of wafers, as major wafer and cell manufacturers unveiled new pricings. This week, trading prices for M6, M10, and G12 cells come in at RMB 1.24-1.25/W, RMB 1.24-1.26/W, and RMB 1.22-1.23/W, respectively.
Cell price hikes this time can be largely attributed to the polysilicon manufacturing accident in June, which affected wafer production and sent wafer prices to a steep upward trend. Prices for M6 cells rise this week on sharply decreased supply and remaining downstream demand from orders signed previously. M10 cells have seen prices rise for two consecutive weeks due to short supply. G12 cell supply is hit by line modification for M10 cells and production halts of some manufacturers due to power rationing.
In the future, M6 prices will stabilize and slightly pick up due to decreasing demand, whist prices for M10 cells see this week’s upward momentum continue. Meantime, as it is increasingly difficult to acquire wafers, cell manufacturers are worried about not being able to purchase enough of them. If so, cell manufacturers will have no choice but to cut utilization rates, and then decreasing supply for mainstream format cells will prolong cell price hikes. Future outcome hinges on pricing strategies and production plans of the module sector.
Module
Module prices advance marginally this week for new orders in July. Still, order volume is low, as module makers are mostly delivering previous orders, with several of them reducing or suspending deliveries. Prices stagnate for now. Glass-backsheet modules rated beyond 500 W were delivered at RMB 1.9-2/W (Inland transport costs excluded), and their glass-glass counterparts at RMB 1.9-2.05/W. (Inland transport costs excluded).
Mainstream trading prices come in at RMB 1.9-1.96/W. Very few orders are signed at prices higher than RMB 2/W. As polysilicon prices soar this week, module price quotes will be higher in the future, with some having reached above RMB 2-2.1/W. To date, no order is signed at prices higher than RMB 2.1/W. End user acceptance is to be heeded.
In July, utilization rates vary among module makers. Tier-1 makers are not trimming down utilization rates, accepting higher cell prices, with production output slightly increases on levels in June. Mid and small-scale module makers, on the other hand, close for the weekend in advance early this month.
Prices stabilize in overseas markets for now. The Asia-Pacific market sees prices sitting at USD 0.26-0.27/W (FOB). In Australia, prices come in at USD 0.275-0.28/W, with the average price reaching USD 0.28/W, thanks to recovering demand.
In Europe, prices for glass-backsheet modules rated beyond 500 W sustain at USD 0.265-0.275/W and come in at USD 0.28-0.3/W on the spot market. Prices may rise by EUR 0.01-0.02/W for distributed projects and stay at USD 0.27-0.28/W for utility-scale ground-mounted projects.
N-type cell and module
The market has yet to see many price quotes for n-type products, for which prices slightly increase on rising production costs. G12 HJT modules will be available by July or August.
Prices for M6 HJT cells sit at around RMB 1.3-1.45/W.
M10 and G12 TOPCon cells have not seen much trading by far, mostly purchased for in-house capacities, with prices coming in at RMB 1.28-1.3/W for the time being.
Module prices sustain this week, coming in at RMB 2.15-2.2/W for M6 HJT modules, and USD 0.285-0.33/W in overseas markets.
M10 and G12 TOPCon module prices stay where they were last week, at RMB 2-2.05/W for monofacial ones, RMB 2.05-2.08/W for bifacial ones, and around USD 0.28-0.3/W in overseas markets.