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Home - Solar Industry - China Polysilicon Price rises in the midst of regulatory signals
Solar Industry

China Polysilicon Price rises in the midst of regulatory signals

solarenergyBy solarenergyJuly 12, 2025No Comments4 Mins Read
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In a new weekly update for PV -MagazineOpis, a Dow Jones company, offers a quick look at the most important trends in the global PV industry.

July 11, 2025
Opis

The China Mono Premium-de price rating of OPIS for mono-quality polysilicon that is specifically used in N-Type Ingot production on the domestic market of China-Is Week on week of 0.74% with 0.74% to CNY 34.225 ($ 4.77)/Solar wed 0.072/W.

Despite this modest rise, the underlying market fundamentals remain largely unchanged. The prices continue to float below production costs, the total sales activity remains modest and the stock levels are still increased. Against this background, participants in industry have placed more and more hope of administrative intervention to help repair the market order and to praise stability. The recent price movement is seen by many as an early indication that the government’s efforts may become in force.

According to sources from the industry, the rise in polysilicon prices is closely linked to a high -level symposium that was convened last week by the Ministry of Industry and Information Technology (MIIT) with 14 leading photovoltaic companies and important industrial associations. During the meeting, Miit officials underline the urgent need to implement extensive regulatory measures to tackle harmful price determination and market volatility.

A directive reportedly emphasized by the ministry was that products should not be sold below production costs – a policy signal that has encouraged some manufacturers to increase their offers. Sources, however, noted that transaction volumes are limited at the adapted price levels, and the sustainability of this price rebound is still uncertain.

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The Miit meeting followed closely on the heels of the sixth meeting of the Central Financial and Economic Affairs Commission on July 1. The highest level of the highest level of economic policy-making at highest level brought on targeted efforts to regulate low price competition by improving legal and regulatory agents, and to facilitate the orderly exit of outdated production capacity. The committee’s guidelines are expected to significantly influence strategic development in the long term of the PV sector.

In a related development, reports from the beginning of May indicated that the six most important polysilon producers of China, under the coordination of relevant authorities, considered a joint initiative to acquire and consolidate surplus production capacity. Multiple sources confirms to OPIs that discussions about the plan are underway. Although provisional proposals have been submitted to government agencies, the primary challenge continues to identify and secure financial resources that are necessary for implementation.

Recent developments in the Chinese Polysilicon spot market are increasingly mirrored in the Futuresmarkt. According to data from the Guangzhou Futures Exchange, the average daily settlement prices remained in June 2025 for delivery contracts from July 2025 to June 2026 under CNY 34/kg. However, data from July 1 to July 8 indicate a noticeable rebound, with average daily settlement prices for the same delivery period that rises to a series of CNY 34.5/kg to CNY 38/kg.

Although CNY 38/kg is still insufficient for manufacturers to achieve meaningful profitability, the upward trend signals the growing market optimism. Participants in the industry seem to anticipate a potential recovery on the Polysilicon market, possibly rather than previously expected.

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Despite this shift in sentiment there is caution. One market source noted that if the recent price increase is mainly powered by temporary administrative pressure instead of a structural improvement of the fundamentals of the offer, it is unlikely that it will be maintained.

Other sources repeated this concern and warned that an early price repair can encourage producers to increase the output in an attempt to compensate for losses, which could further aggravate the issue of oversupply. They emphasized that the long -term effectiveness of current administrative measures will largely depend on the consistency and strength of their implementation. Coordinating the varied interests of countless stakeholders through legal means remains an important challenge.

Opis, a Dow Jones company, offers energy prices, news, data and analysis of gasoline, diesel, aircraft fuel, LPG/NGL, coal, metals and chemicals, as well as renewable fuels and environmental products. It acquired price determination of data from Singapore Solar Exchange in 2022 and now publishes the OPIS APAC SOLAR WEEKLY REPORT.

The views and opinions expressed in this article are the author, and do not necessarily reflect it by PV -Magazine.

This content is protected by copyright and may not be reused. If you want to work with us and reuse part of our content, please contact: editors@pv-magazine.com.

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