Polysilicon futures surged on their first day of listing! Institutions: The price of the industrial chain may be repaired.

According to a report from Hong Kong's Wind Information Co., on December 26, polysilicon futures officially began trading. On the first day of trading, the main polysilicon contract PS2506 hit the daily limit during trading hours, then fell slightly before closing with a 7.69% increase. This year, affected by the oversupply situation, the spot price of polysilicon has been continuously declining, with leading polysilicon companies reducing production to send positive signals. On the first day of trading, the polysilicon main contract PS2506 hit the daily limit, with an increase of 13.99% during trading hours, closing at a price of 44,000 yuan per ton. The increase later fell slightly, with the final closing price of the main contract PS2506 at 41,570 yuan per ton, a 7.69% increase. The continuous decline in the spot price of polysilicon has led to many companies facing losses. As of December 5, the China Photovoltaic Industry Association held a seminar on promoting high-quality and sustainable development in the solar industry, with dozens of companies signing a self-discipline initiative to combat overproduction. This agreement includes the implementation of a quota system for capacity control. Furthermore, leading polysilicon companies have announced production cuts. Tongwei Co., Ltd stated that they are gradually reducing production due to the winter dry season in Southwest China leading to increased electricity prices. Xinjiang Daqo New Energy also announced plans to conduct phased maintenance on production lines in Xinjiang and Inner Mongolia, leading to controlled production cuts. Looking ahead, Wang Yanqing, an analyst at China Securities Co., Ltd., believes that the impact of weak cash flow due to the current situation may affect the future progress of expected capacity expansion, and that supply disruptions may be a key factor in the future polysilicon market. Additionally, Guangfa Futures believes that even though there is a significant amount of new polysilicon production capacity waiting to come online by 2025, the current capacity already far exceeds downstream demand. This, combined with the industry's self-discipline agreement on production cuts, is expected to slow down the progress of these projects and potentially lead to price increases in the future.