The Lunar New Year takes place this week. Since many people are going back to their home town this week, supply chain prices didn’t fluctuate much. Prices are likely to remain weak as everyone returns to work after mid-February.
There was barely any transaction for polysilicon recently as polysilicon and wafer makers can’t reach a compromise on prices. The average trading price of polysilicon for mono-Si wafer use reached RMB 150/kg. Polysilicon for multi-Si wafer use has started to witness lower prices, with the average trading price reaching RMB 130-145/kg. The price gap between the polysilicon for multi & mono-Si wafer use is expecting to widen more significantly after the Lunar New Year.
Mono-Si wafer prices didn’t change much after Longi lowered the prices substantially. Mono-Si wafer is still priced at RMB 4.8/piece in China and US$ 0.66 - 0.67/piece in the overseas. The average trading price of multi-Si wafers reached RMB 3.9-4/piece in China and US$ 0.56/piece in the overseas.
Under the current multi-Si wafer prices, it’s difficult for multi-Si cell prices to drop further from RMB 1.35/W. At the same time, cell makers have lowered the capacity utilization rates significantly in February, which caused multi-Si cell price to remain RMB 1.35/W. Conventional mono-Si cell is priced at RMB 1.5-1.6/W as well.
There weren’t much new trading prices for modules recently. Even though the duty rate of the “Section 201” case in the US is clear now, the spot price of modules didn’t change much following the weak trading volume. For the Chinese market, price of conventional multi-Si modules stayed like before - slightly lower than RMB 2.6/W for utility-scale projects. Due to the weak demand before and after the Lunar New Year, many module manufacturers will lower the capacity utilization rates in February.