Polysilicon imports into China almost halve compared to 2017 levels

Polysilicon imports into China have dropped by 23% year on year to 88,093 metric tonnes in 2022, almost halving compared to the peak level of 158,918 metric tonnes in 2017 and approaching 2012 levels, shows new research based on Chinese customs statistics.

The reason for the latest drop is attributed, in part, to the ramp-up of new production capacities in China, as reported by polysilicon market specialist Bernreuter Research.

Johannes Bernreuter, founder and head of the market analyst, estimates China’s 2022 share of the global production of solar-grade polysilicon at 88%, based on preliminary data. This compares to a share of 82% in 2021 and 55% in 2017.

The biggest decline in 2022 imports into China was recognised in Japan, where solar module producer Sharp shed large volumes of polysilicon inventory following the expiration of a long-term purchase contract in 2020. Imports from Taiwan, Malaysia, Germany and the US decreased as well.

Bernreuter notes that major polysilicon producers such as Germany-based Wacker and Hemlock Semiconductor of the US have shifted sales to photovoltaic (PV) module supplier Jinko Solar, which opened a wafer factory in Vietnam in early 2022. Chinese competitor Trina Solar will be building a facility there too.

“With the Uyghur Forced Labor Prevention Act that bans products from Xinjiang and the anti-circumvention decision against solar modules produced with Chinese wafers in Southeast Asia, the United States are driving the demand for solar panels made of polysilicon and wafers not coming from China,” Bernreuter explained and added that “the future of non-Chinese polysilicon feedstock lies outside China.”

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