Polysilicon prices tumbled on Wednesday as the market reeled from fears of another ramp-up in capacity expansion and a large build in China stockpiles after market sentiment took a hit from slow progress on price negotiation. Mono-grade polysilicon prices dropped this week, extending early losses in March, as surging inventories weighed on the market confidence and the threat of aggressive capacity expansions in China prompted concerns about the oversupply while poly-grade polysilicon prices slid sharply amid fears of worsening market shares.

Polysilicon prices tumbled on Wednesday as the market reeled from fears of another ramp-up in capacity expansion and a large build in China stockpiles after market sentiment took a hit from slow progress on price negotiation. Mono-grade polysilicon prices dropped this week, extending early losses in March, as surging inventories weighed on the market confidence and the threat of aggressive capacity expansions in China prompted concerns about the oversupply while poly-grade polysilicon prices slid sharply amid fears of worsening market shares.

Mono-crystalline wafer prices stayed flat this week as suppliers and buyers were under the deadlock of price negotiations after the mixed signals of the largest producer's raising its monthly official price quotes last week and the second-largest producer's maintaining its price quotes stable early this week. Market sentiment was also buoyed by the shortage of quality quartz sand, limiting Quartz Crucible's supply for mono-ingot production, but all wafer manufacturers kept their production utilization rates high.

Mono-crystalline PERC cell prices stayed still on Wednesday as expectations for 2Q23 demand growth ceased fears over soaring order cancelations in China and the slow pace of selling-through against rising output, while some wafer suppliers intended to raise their solar wafer prices. The competition initiated by the second-tier producers and anticipation of demand weakness amid the potential solar module production cuts retained the market cautiously while all players were waiting for the response from buyers to see whether they could accept higher prices for their taking rising solar wafer price quotes to keep the margins of solar cells.

Mono-crystalline PERC module prices fell this week as demand uncertainty loomed large amid the solar module procurement delay after buyers expected lower solar module prices on surging inventories of major Chinese solar module companies and record-high new capacity expansion recently. Top Chinese solar module suppliers were building more stockpiles in hopes of strong 2Q23 demand and therefore refused to make big moves in the price cuts, but new entrants kept the aggressive pricing to expand their exposures.