Last week, the spot price of silicon metal remained stable overall. There is a strong wait-and-see atmosphere in the spot market, with low trading volume and no significant increase in downstream purchasing demand, resulting in cautious procurement. On the supply side, the southwest region has reduced production during the dry season, while the northwest region has reduced production in the early stages. There are no plans to resume production in the near future, and although two new production capacities have been added, overall supply has tightened. On the demand side, in terms of organosilicon, the main monomer factories in Shandong have resumed operation, increasing the supply capacity of organosilicon monomers and the demand for metallic silicon; The production of polycrystalline silicon plants has been stable recently, and they purchase metal silicon on demand; The aluminum alloy factory is operating smoothly, and the demand for silicon metal remains stable. At present, there are signs of improvement in the supply-demand relationship, but the supply still exceeds the demand. Under the pressure of accumulated inventory in the early stage, coupled with insufficient downstream demand, it is difficult for the spot price of silicon metal to rise.
Market Overview: Last week, the transaction price of polycrystalline silicon slightly increased, but the transaction volume of enterprises was relatively low. Currently, most enterprises are in the stage of executing preliminary orders and signing the next round of new orders. At present, new orders are mainly small orders or trader orders. Affected by favorable factors such as the listing of polysilicon futures and the reduced load operation of all in production enterprises, both upstream and downstream enterprises hold an optimistic attitude towards the future trend of silicon material prices. Therefore, consensus has been reached relatively quickly in terms of trading volume and transaction price in this stage. The focus of enterprise transaction prices has generally shifted upwards, and new order quotes have also been raised. Both Tongwei Corporation and Daquan Energy have issued maintenance and production reduction announcements, marking the official entry of leading polycrystalline silicon enterprises into the low load operation stage, which has a positive significance in alleviating industry supply and demand pressure and guiding market prices to return to rationality. As the polysilicon futures market approaches its listing, the factors influencing its price will become more diversified.