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Updated June 01, 2017

Both SolarWorld’s filing for Section 201 and India’s uncertainties on Goods and Services Tax (GST) will not be affected by current supply shortage. The overall supply chain continued to witness strong demand. So far, India’s GST rate may be revised downward from the original 18% to 5%. India’s demand uncertainties will soon be removed. The Indian market will keep seeing strong demand before rainy season arrives.

However, although demand will remain high till late-June, manufacturers have been uncertain about prices for late-June. The average trading price seemed to almost peak, with the price increase slowing down.

Polysilicon prices kept rising, but wafer makers still have doubts about polysilicon prices in late-June, and thus have not yet accepted the price increase. Therefore, the average trading price of polysilicon remained the same this week, reaching RMB 118-120/kg in China.

The multi-Si wafer market still suffered from tight supply. The average trading price of multi-Si wafers reached RMB 4.7-4.8/piece in China and US$ 0.615-0.625/piece in the overseas. Since the number of multi-Si wafer orders will be higher than anticipated in June, prices may slightly increase. The price gap between diamond wire cut and slurry is maintained at RMB 0.3/piece. Multi-Si wafer using diamond wire cut is priced at RMB 4.3-4.5/piece.

In June, the average trading price of multi-Si cells reached RMB 1.77-1.78/W in China and US$ 0.22-0.225/W in Taiwan. Mono-Si PERC cell prices slightly increased, reaching US$ 0.335-0.35/W. Cell makers’ offering prices recently have brought many pressures to module makers. Taking into account the order stability after June 30th, raising prices is not the major goal for cell makers.

Although the European exhibition took place this week, the actual trading price of modules did not fluctuate due to short supply. Multi-Si module is priced at RMB 2.85-2.95/W, while mono-Si is priced above RMB 3.2/W in China. The overseas module prices stayed flat as well.

Overall, despite the full order status for all sectors of the supply chain till late-June, prices may start to fall as prices are expected to peak recently following the lower order visibility for polysilicon, multi-Si wafers, and cells in late-June.