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Polysilicon price is unlikely to fall further in 2024 

Infolink Consulting assesses that manufacturers are inclined to maintain or even increase the value of the input in the international market

Polysilicon price should not see further reductions in 2024 

Polysilicon is the main input used in the manufacture of photovoltaic modules. Photo: Daqo New Energy/Disclosure

O polysilicon price – which remained stable throughout practically the entire year, showing a slight drop only in the third quarter – should not register new reductions until the end of the year. 

This is what one points out evaluation of the new bulletin of Infolink Consulting, a research and consulting company that publishes weekly reports on the behavior and price fluctuations of the main inputs in the global photovoltaic chain. 

In January, the average price of the input was US$ 21,50/kg and is now being sold at US$21,00/kg, on one value that should remain stable or show a slight increase until December. In October, the bulletin highlights in its analysis that the polysilicon market remained moderate. 

on the side of demand, the buyers would not be in a hurry to sign new orders due to the accumulation of stocks, which led to a drop in demand for the input.  

On the side of offer, Infolink Consulting points out that the Chinese industry self-regulation initiatives and meetings are still in the early stages, which should lead to supply cuts by the middle of the fourth quarter. 

“Major polysilicon manufacturers are expected to directly impact supply levels later in the year,” the research and consulting firm said. 

In this sense, it is understood that the fPolysilicon manufacturers are “increasingly inclined to sustain or even increase prices. Therefore, further price reductions will still be limited in the short term,” the bulletin highlighted. 

Why is the price of polysilicon important? 

O The price of inputs that make up a photovoltaic system is a highly relevant factor in the international market, since its variation directly affects the attractiveness of solar energy projects around the world. 

Among these raw materials, the polysilicon ends up being one of the most important, since it is responsible for about 60% of the production cost of photovoltaic modules.

In turn, the modules represent around 40% to 50% of the final price of a photovoltaic system. Thus, the fall or rise in the value of polysilicon can bring impacts positive or negative for solar energy projects. 

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Henrique Hein
About the Author
Henrique Hein

He worked at Correio Popular and Rádio Trianon. He has experience in podcast production, radio programs, interviews and reporting. Has been following the solar sector since 2020.

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