China Nonferrous Metals Industry Association: silicon wafer supply exceeds demand, prices continue to rise. G10L and G12 series silicon wafers are relatively more scarce.

The Silicon Industry Branch of China Nonferrous Metals Industry Association issued a statement this week stating that the main reason for the expansion of silicon wafer prices is the imbalance between supply and demand. By the end of this week, with the increasing enthusiasm of downstream purchases, companies have significantly accelerated the pace of supply, and the speed of silicon wafer inventory digestion has correspondingly increased. Specifically, G10L and G12 series silicon wafers are relatively more scarce, and the acceptance of this round of price increases also indirectly confirms this fact. In addition, this week, integrated enterprises have begun large-scale production again, mainly due to the accumulation of raw materials in the previous period. Calculated based on the current cost of putting them into production, the profits are considerable, much more cost-effective than purchasing silicon wafers externally. According to statistics, the capacity utilization rates of two frontline enterprises this week are maintained at 60% and 55% respectively, while the capacity utilization rate of integrated enterprises has increased to between 60% and 80%, and the capacity utilization rates of other enterprises are maintained between 40% and 80%. The silicon wafer production in January maintained the previous expected 46GW. This week, the prices of silicon wafers have expanded, with the average transaction price of N-type G10L monocrystalline silicon wafer (182*183.75mm/130m/256mm) rising to 1.18 yuan per piece, an increase of 7.27%; the average transaction price of N-type G12R monocrystalline silicon wafer (182*210mm/130m) rose to 1.3 yuan per piece, an increase of 7.69%; N-type G12 monocrystalline silicon wafer (210*210mm/150m) saw the average transaction price rise to 1.55 yuan per piece, an increase of 9.15%. Except for G12R high prices that have not been fully accepted downstream, the rest of the sizes in this round of price increases have already been traded on a large scale. This week, the prices of batteries have also risen, while the operation of components remains stable. The transaction price of M10 monocrystalline TOPCon battery cells rose to 0.29 yuan/W, an increase of 1.75% compared to the previous week. The price of 182mm TOPCon double-sided double-glass modules remained at 0.68 yuan/W. By the end of December, battery inventories had also been almost depleted. In the current situation of rising silicon wafer prices, the battery prices have been driven up. In the component segment, entering the installation low season in January, combined with the situation of high inventory levels in the previous period, the prices have not shown a significant increase. Based on the above analysis, the shortage of silicon wafers is expected to continue, and the current stalled orders are highly likely to be completed.