China Polysilicon Trading Freezes at RMB32,000 as 8 Producers Enforce Price Floor
Updated
Updated · PV Tech · Aug 17
China Polysilicon Trading Freezes at RMB32,000 as 8 Producers Enforce Price Floor
1 articles · Updated · PV Tech · Aug 17
Summary
Zero new polysilicon transactions were recorded for a second straight week, with producers withholding fresh quotes and only fulfilling legacy orders.
Prices stayed pinned to 29 July levels after eight major Chinese producers signed a 6 August pledge to stop cutthroat competition and uphold a cost-based floor—n-type recharging material averaging RMB32,000 a tonne.
Steady plant output and weak downstream demand deepened the standoff: wafer makers delayed procurement, PV installers limited capacity gains, and buyers avoided large inventory builds while awaiting a new benchmark.
Markets still rallied on the policy shift, with Tongwei, GCL Tech and Xinte Energy up about 5% on 12 August and the main polysilicon futures contract rising 4.26% that day.
J.P. Morgan expects prices to recover to RMB50,000-55,000 a tonne in the second half as inventories clear, testing whether self-regulation can end a year of below-cost selling.