PVinsights : The diminishing demand strengthens solar price downtrend.

Module price downtrend sustains this week. The slump of China domestic demand pushes the 1st tier China module players to adjust down their selling prices with a view to stimulating the demand and securing the orders. Chinese 2nd and 3rd module manufacturers have no choice but follow the price drop.



Module price downtrend sustains this week. The slump of China domestic demand pushes the 1st tier China module players to adjust down their selling prices with a view to stimulating the demand and securing the orders. Chinese 2nd and 3rd module manufacturers have no choice but follow the price downturn. Chinese solar panel suppliers are doing price competition not only in China, but also outside China, such as the US, EU, Japan and the emerging countries. In Germany and the US, solar module demand seems to recovery slowly. Although it is the hot season for solar system installation in Japan, India and the UK, overall solar module demand still perform weak after China market ceased in January. With the demand weakening, major mono module suppliers make module price fall for the demand recovery.

With the obvious demand drop in cell market, solar cell price pressure still remains seriously. Taking a dismal view of the cell market, some cell producers now decides to decrease the production utilization rate for their oversupply concerns, while some still keeps high production utilization rate to sustain their optimal manufacturing costs. Solar cell oversupply and downstream solar price drops make cell price worst. In addition, mono cell price declines more than multi one, because some mono cell manufacturers think that the weak demand of monocrystalline-based products results from the price gap between monocrystalline-based products and multicrystalline-based ones. Thus, some solar cell makers strategically narrow the price gap to drive up mono cell demand.

Overall wafer price crashes this week. Due to the depressing demand and the price downturn of downstream components, major wafer sellers are cutting their selling price this week and the 2nd and 3rd wafer ones follow the price downturn. Cooperating with major solar panel makers, some 1-tier mono wafer suppliers offer mono wafer with ultra-low price tactically on the purposes of narrowing the price gap between multi wafer and mono wafer as well as of expanding mono solar product market share.

Polysilicon price steps down moderately this week. Currently, major polysilicon makers intend to keep their selling prices. On the other hand, polysilicon buyers are still looking for low price quotes. With the opposite view of sales and buyers, polysilicon transaction is difficult to settle down and polysilicon price goes down moderately.


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