Longi signs third big polysilicon supply deal, now with Tongwei

Leading monocrystalline solar wafer manufacturer Longi has further paved the way for its rapid capacity expansion by signing a contract with Chinese Tongwei Group for the delivery of 55,000 metric tons (MT) of polysilicon between May 2018 and December 2020.

It is the third major polysilicon supply contract that Longi has concluded since the beginning of this year. In early February the company struck a deal with South Korean polysilicon producer OCI for the delivery of nearly 65,000 MT from March 2018 through February 2021. A 39,600 MT contract with Daqo New Energy followed in early April, with supply running from April 2018 through December 2020.

In total, the three contracts comprise a volume of nearly 160,000 MT (see chart), which corresponds to an output of more than 50 GW of monocrystalline wafers. Longi is planning to triple its wafer production capacity from 15 GW at the end of 2017 to 45 GW by the end of 2020.

Tongwei has a polysilicon production capacity of 20,000 MT in Leshan, Sichuan province; two additional plants with a capacity of 25,000 MT each in Leshan and Baotou, Inner Mongolia are slated to start up in late 2018.