Keep falling! The price of silicon material is as low as 120 yuan/kg

On January 11, the Silicon Branch announced the latest price of silicon materials, which continued to decline, but the decline in the transaction price was narrower than last week, but the transaction was gradually active. The price

of

single crystal recharging is 125-180000 yuan/ton, the average transaction price is 161600 yuan/ton, and the price

of single crystal dense material is 123-178000 yuan/ton with a week-on-week decline of 9.32%

. The average transaction price was 159 thousand and 200 yuan/ton, with a weekly decline of 9.65%. The price

of

single crystal cauliflower was 120,000-175,000 yuan/ton, and the average transaction price was 156,200 yuan/ton, with a week-on-week decline of 9.92%. According to the atmosphere of

the silicon industry, the transaction of silicon materials was gradually active this week, and the price decline was significantly narrowed . The main reasons were as follows:

First, before the price of silicon wafers stopped falling, the purchasing willingness of silicon wafer enterprises and the negotiation willingness of silicon material enterprises were extremely low due to concerns about price losses. But this week, the price of silicon wafers began to stabilize, part of the purchasing demand can be implemented, and both upstream and downstream have established the basis for negotiation;

Second, the early silicon wafer enterprises sharply reduced the operating rate, because there is no considerable profit under the insurance agreement, when the operating rate and inventory have fallen to an abnormal level, the price has reached the bottom and stabilized, the profit has recovered slightly, and some silicon wafer enterprises have begun to raise the operating rate, while the demand for silicon materials has recovered, but the relationship between supply and demand in the market has not been reversed. Therefore, the price of silicon materials is still in the downward stage this week, and the decline shows a narrowing trend.

Silicon Branch expects that the production of silicon wafers will increase by more than 10% in January, so the domestic production of polysilicon will increase slightly by about 5% in January.

In the next step, with the gradual stabilization of the price of silicon wafers, the price of silicon materials dropped slightly in the same period, the profit margin continued to support the increase in the operating rate of silicon wafer enterprises, and began to establish a safety stock. The increase in demand for silicon materials will support the gradual digestion of silicon material stocks, and the trend will gradually reach the bottom and stabilize after the decline in market prices slows down.