The industrial silicon market is experiencing low-level fluctuations, and some factories are finding it difficult to resume production
The industrial silicon market has been on a continuous decline for more than two years, with only narrow fluctuations within the year. It is truly not easy for prices to rise. Despite the concentrated production cuts by major factories and factories in various regions, it is difficult to stimulate a short-term market recovery. The entire industrial chain has entered a downward reshuffling stage.
The elimination of backward production capacity and the adjustment of industry structure require a relatively long period of market regulation. The contradiction between supply and demand in the industrial silicon market has not yet been alleviated. There is little significant recovery in consumption on the downstream demand side, terminal orders are limited, and factories on the supply side are widely distributed, highlighting regional differences and the advantages of integration. In the past two years, many large enterprises have gradually improved their production technologies to reduce unit consumption and thus cut costs. In many regions, such as Guangxi, Hunan, Guizhou, and Fujian, there is no power advantage. Moreover, factories have difficulty investing a large amount of funds to improve production technologies and have not been put into operation for two consecutive years. As a result, the market will remain at a low level for a longer period of time or enterprises that have not been put into operation for a long time will be gradually eliminated.
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