Polysilicon prices in China have been climbing for the third consecutive week as the government intensifies measures to reduce excessive industrial capacity. According to the China Silicon Industry Association, prices rose 15% over the past week, with the highest price recorded at $5,809 per ton, reports Baltimore Chronicle with reference to Bloomberg.
The association’s report states that the upward trend in polysilicon pricing strengthened further this week, accompanied by a significant increase in transaction volumes.
The market has been driven by a government-led initiative commonly referred to as the “anti-involution campaign” — a policy aimed at reducing production excesses through the implementation of minimum pricing and tighter output controls. Nevertheless, the Association noted that despite these efforts, supply and demand dynamics have remained largely unchanged.
Polysilicon is widely used in the production of solar panels and semiconductor components, with China maintaining its position as the global leader in solar panel manufacturing.
Against the backdrop of ongoing trade tensions with the United States, Beijing has imposed restrictions on the export of rare earth metals — a move that threatens the global supply chain of crucial materials. These elements are essential in industries ranging from military aviation to nuclear energy and consumer electronics.
On June 18, it was reported that China’s exports of rare earth products, including high-powered magnets, fell in May to a five-year low.
Earlier we wrote that Chinese hackers target Taiwan’s chip industry amid U.S. tech sanctions.