Metal silicon prices in multiple regions of China hit new lows within the year

Recently, spot prices of metal silicon in China Sichuan, Yunnan, Jiangsu, Guangdong and other regions have continued to decline. Taking Sichuan 441 # metal silicon as an example, the reference price of this model of metal silicon was 13900 yuan/ton on May 29th, a decrease of 50 yuan/ton from the previous trading day, setting a new low for the year. Since May, it has accumulated a decline of 12.3%. From a regional perspective, the prices of metal silicon in multiple regions have weakened simultaneously, hitting consecutive new lows for the year.

Hainan West Asia Group analyzed that there has been an oversupply situation in the upstream metal silicon market recently. Although production in the southwest region decreased during the dry season, the cost advantage of coal and electricity in Xinjiang region has released a large amount of new production capacity. With the recent entry of abundant water periods in Sichuan and other regions and the full release of production capacity, it is expected that the oversupply phenomenon in the metal silicon market will further intensify in the future.

Will the price of metallic silicon continue to decline in the future? According to the analysis of Hainan West Asia Ferroalloy Group, there is no sign of a rebound in the short term, and the situation of oversupply within the year is expected to be difficult to improve. From the April data of the real estate market, which is one of the main terminal demands, sales, new construction, and new investment are not very optimistic. The probability of future demand release cannot meet expectations, and it is difficult for metal silicon prices to rise

It is worth noting that due to the continuous decline in metal silicon prices, the prices of downstream products such as polycrystalline silicon, silicon wafers, battery cells, and battery components in the industrial chain have also declined simultaneously.

For the latest developments and price updates on the metal silicon market, please contact Hainan West Asia Import and Export Group.