Domestic PV Prices Were Affected After 531 New Deal

 Although the China Photovoltaic Industry Association (CPIA) has tried to emphasize that the downturn caused by China’s policy at the end of May is not as catastrophic as those predicted by extremely pessimistic forecasters, but the PV data for the first nine months of this year, It still vividly reflects the huge differences before and after the policy changes. The deputy chairman and secretary-general Wang Bohua’s assertion that the data will remain basically unchanged next year seems to be optimistic and has no other basis. 

The benchmark silicon price dropped sharply in June this year. The year-on-year growth of solar wafer, battery and module production has turned from a full-fledged rush to a near-quiet silence, indicating that the Chinese government's decision to cut domestic PV subsidies has had a huge impact. 

Official data shows that China's new solar power capacity this year is expected to be 40 GW, and will remain the world's largest solar market, and better than some analysts' comprehensive retreat forecast immediately after May 31. . But if this number is correct, it also means a 25% drop from 2017. Official data also predicts that 17.4 GW of new capacity comes from power companies, and 17.14 GW comes from distributed generation, almost equally. 

Compared with the same period of last year, solar silicon production increased by 4.94% to 178,000 tons, and is expected to reach 350,000 tons by the end of the year. The price of silicon has steadily dropped from 130,000 yuan/ton (about 20,000 US dollars/ton) in December last year to 126,000 yuan/ton in May this year, and then dropped sharply to 82,000 yuan at the time of compilation of statistics. Ton. 

In the first six months of this year, domestic wafer production was about 50 GW, an increase of 39% over 2017, but only 13.6 GW in the next two months, reducing the year-on-year growth rate to 2.1%. At the same time, the price also fell sharply. The 156mm monocrystalline silicon wafer dropped from 0.69 USD/piece at the beginning of January to 0.45 USD/piece at the beginning of last month. The price of polysilicon wafers in the same period was from $0.62 to $0.31. The 

battery field is also the same as this. Production in the first six months of this year was 39 GW, an increase of 22% year-on-year. By the end of September, it only increased by 14.6 GW, which lowered the year-on-year growth to 5.1%. The same is true for components. In the first six months, the output was 42 GW, a year-on-year increase of 24%. By the end of September, only 12.9 GW was added, and the growth rate fell to 3.58%. The price of polysilicon components plummeted from $0.33/watt at the beginning of the year to $0.235 at the beginning of October.