GCL’s new polysilicon plant in Xinjiang will start up in September

GCL-Poly Energy Holdings has confirmed reports that the first phase of its new polysilicon plant in Xinjiang with a capacity of 20,000 metric tons (MT) will start up in September.

In the announcement of its first half 2018 results issued on August 29, GCL reiterated that construction of the second 20,000 MT phase would be completed by the end of 2018 – although the first phase will come on stream three months later than previously announced.

The company also said that “the capacity of the polysilicon base in Xinjiang will increase from 40,000 tons to 50,000 tons without increasing the originally planned capital expenditure.” Supposedly, this will be achieved through debottlenecking and efficiency improvements.

GCL explained that the complete polysilicon output from the new plant would be used for monocrystalline wafers and thus “replace import products in the future.” Along with new low-cost, high-quality capacities of the Chinese manufacturers Tongwei and Daqo, Xinjiang GCL will also put other domestic plants under pressure, which only deliver polysilicon quality sufficient for multicrystalline wafers. Consequently, the average spot price will probably slide to below $11/kg.