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Chinese polysilicon producers intensify cut-throat competition

GCL-Poly Energy Holdings and Tongwei Group have announced production capacities that are larger than originally planned for their new polysilicon factories.
GCL-Poly said in an announcement issued on October 28 that the capacity of the new-built facilities in Xinjiang will increase from 40,000 metric tons (MT) originally expected to 60,000 MT now and that test production will start.
Tongwei declared in a statement issued on October 22 that its new plant in Inner Mongolia will start operation on October 30 and will have a capacity of 30,000 MT, instead of 25,000 MT originally planned. The same upgrade applies to Tongwei’s new plant in Sichuan starting up in December.
The announcements come at a time when oversupply has already sent the spot price to a record low of $10/kg. The logical result will be severe cut-throat competition. Both GCL and Tongwei have expressed the intention to replace imports. This is a hidden declaration of war against the major polysilicon importers OCI and Wacker.
- 2018
- China
- expansion
- GCL
- imports
- manufacturer
- OCI
- plant
- production capacity
- spot price
- Tongwei
- Wacker
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