Polaris solar PV net news: more disclosure of listed companies in the photovoltaic industry report showed the industry’s unique “dynamic”.
Only part of the shares in “leading” as an example, JA Solar in realized net income of $ 21.9 million in the second quarter of this year, grew by 391%; Trina, a net profit of $ 43 million, grew by 175%; jinko reported net income of $ 12.3 million, grew by 50%. Not only that, but earnings above the reported gross margins of more than 15%, where Trina, Crystal energy even over 20%.
However, the heavily updated financial data also reveal some interesting changes, for example, manufacturing cells, components in the middle reach of the industry’s enterprises performance, superior to those of raw materials and end: the second quarter of this year, the main period of polysilicon daqo new energy net loss of $ 900,000, compared with the previous quarter, a profit of $ 1.2 million and a $ 4.5 million profit in the second quarter fell sharply last year. And this a phenomenon also not only hits has China enterprise, earlier, international polysilicon “leading” REC only achieved tax card depreciation and the assessment pin Qian profit (EBIDTA) 5.8 million dollars, net losses 30.2 million dollars; OCI based chemical business EBITDA about for 76.02 million dollars, compared declined 30%; Germany w grams polysilicon business removed customer advances and the break compensation gold returns Hou, EBITDA about for 74.7 million euro, compared declined 15%. Quietly, the same chain upstream and downstream production of “prosperity” rule has been broken.
Only logic to explain this phenomenon seems to have come from polysilicon price “diving”, statistics show that, from 2015, the photovoltaic material cumulative decline has reached 21.37%, presumably, led to losses in photovoltaic upstream, and downstream relative to the gross margin growth.
And actually, raw materials price of “diving” and cannot makes middle and lower reaches of “alone”, according to securities daily reporter finishing, relative Yu polysilicon, middle and lower reaches of PV products price of declined also exists, just range different, for example into 2015 yilai, Silicon tablets price cumulative fell has 17.8%, polysilicon tablets fell 7.45%; Crystal battery price decreases up 11.31%, more Crystal battery for 3.44% (which China Taiwan produced more Crystal battery price also fell has 2.8%) While PV module price decline can reach 11.17%.
“58th article” validity does not reflect the polysilicon prices raised diving
Superposition of market supply and demand, technological progress, and so forth has triggered changes, ultimately, change. However, it is recognized by the industry, PV price fluctuations of these products, particularly poly price “diving” and last year by China’s Ministry of Commerce and the General Administration of customs jointly issued the “moratorium on solar grade silicon and approval of processing trade” 2014 58th Bulletin (hereinafter the “58th article”) relationship between most closely.
Following January 2014, China implementation has “on United States imports solar level polysilicon levy 53.3%-57% anti-dumping tax”, and “on Korea imports solar level polysilicon levy 2.4%-48.7% anti-dumping tax”, and May 1, 2014 on since EU imports solar level polysilicon take trade relief measures (and Germany w grams reached price agreement) Hou, given January 2014-August China processing trade items Xia polysilicon imports appeared surge, Department of Commerce and the General Administration of customs decided to suspend solar grade polysilicon processing trade imports since September 1, 2014 the business application of acceptance (58th).
This series of initiatives introduced solar grade poly silicon industry in China based on the dumping caused material injury, at the same time, it is regarded by industry in China and the United States toward China PV industry “double reverse” to negotiate “chip”.
However, until today, the “58th article” should have effect is not evident, according to reporter tracks from August last year, from Europe, the United States, South Korea imported under processing trade solar grade silicon and trade instead of fewer, but see a surge and remain high.
Securities daily had on “58th, paper” implementation, polysilicon processing trade imports and the trade total is not reduction anti-increased for had survey and reported: in last year August “58th, paper” released and implementation day (September 1) Zhijian of half months gap period within, for all consider, around assault approval has total over 100,000 tons of solar level polysilicon processing trade imports (2014 annual polysilicon total imports volume only for 102,000 tons).
“In General, the importers and exporters overseas processing trade was even signed the order, prices will fluctuate. Both sides will be developed for the next quarter, are very price consultation in advance of the next month. “Enterprise person who declined to be named told securities daily reporters,” with ’58 ‘, photovoltaic materials and raw materials companies, the more a negotiation ‘ chips ‘, later imports cannot be routed through processing trade, while general trade after deduction of the corresponding anti-dumping taxes, overseas exporters get less for the price. Duplication of this combination of factors, resulting in this year, solar grade polysilicon price decline at 21.37%. ”
Strictly enforce the “58th article” polysilicon is not raised import fluctuation
Eventually, due to “the 58th article” spot approval prior to implementation, not only policy has lost its effectiveness, and also reversed to the original implementation of relatively high rates of United States polysilicon companies, full implementation of a new sales plan.
But, with time of over, assault approval of processing trade orders has basic performance finished, from China colored Association silicon industry branch according to customs latest data statistics displayed, although July 2015 China polysilicon imports volume still up to 9664 tons, but by processing trade way imports of polysilicon reduced to 4036 tons, accounted for month total imports volume of 41.8%, chain reduced has 47.3%; since United States imports volume is create history low to 569 tons, chain sharply declined 74.2%. According to the volume of processing trade imported 331 tons, substantially reduced 84.9% per cent, accounting for the month since the United States imports 58.3%, 93.7% per cent compared with January-July total processing trade is still low 35.4%.
The reason is not hard to understand, these people described to reporters, “generally speaking, time of processing trade imports of up to a year. In other words, Rob at ’58, ‘ blitz application, approval of the order prior to implementation, by August 2015 at the latest, must be fulfilled. Therefore, we will see changes in the customs data: for example, since the United States imported polysilicon total as well as the sharp decline in the volume of processing trade imports. “
Contributes to this year July China imports overseas polysilicon of constitute, China colored Association silicon industry branch analysis think, first, month from Korea imports volume still up to 4399 tons; second, through from China Taiwan transit avoid “double anti-” tax of imports volume accounted for share new highlights, July from Taiwan transit of polysilicon volume for 966 tons, chain sharply increased 40.6%, accounted for total imports volume of 10%, beyond United States became China third big imports area, Through transit Taiwan avoid taxes also contributed to the polysilicon imports are another important factor in maintaining high; and, third, from Malaysia, and Norway, and Saudi Arabia, and Japan and other markets of polysilicon production capacity gradually release July imports from these areas of 1196 tonnes of polysilicon, 12.4% per cent of total imports, which also makes it hard for imports fell sharply.
In other words, the “58th article” implementation, and from August of this year truly effective, real only from United States import of solar grade poly silicon. “China most main of solar level polysilicon export country main is United States, and Korea, and Germany, no has processing trade, United States polysilicon to paid 53.3%-57% anti-dumping tax, and Korea by needed paid of anti-dumping tax although also up to 2.4%-48.7%, but accounted for to Korea to China export polysilicon total 90% of OCI company of corresponding tax only for 2.4%; also, Germany w grams also early in previously will and China reached has polysilicon export of ‘ price commitment ‘”.
All in all, in the “58th article” in August of this year to be effective, although it will effectively curb the United States companies dumping, it does not cause significant reduction in total amount of imported polysilicon. In addition to importing, even if the living conditions of poor first half of the year, China’s polysilicon manufacturers carried 70,000 tons of polycrystalline silicon production.
Prices, industry forecasts, China has entered the second half of the season, Silicon PV industry chain link demand significantly. Polysilicon prices have bottomed out upside in the near future, but the space will be very limited. Although the August 31 “58th article” French polysilicon imports will be reduced compared to previous, but due to high channel inventories accumulated before the domestic polysilicon production increase expected polysilicon channel inventory decline will slow in the second half, oversupply situation will continue. Wafer and cell link still room for price increases in the future, mainly benefiting from demand warmer.
Colored silicon industry branch of the Association believes that in terms of product quality, while domestic polysilicon companies are to meet PV industry needs, but the level of product quality has been reached of semiconductors (semiconductor-grade solar-grade high purity). Meanwhile, China’s first-tier suppliers, product quality has met the National Semiconductor-grade silicon material standards and is, therefore, imported polysilicon not PV enterprises limited plugging on polysilicon product quality requirements.
Original title: polysilicon processing trade imports “restrictions” on the first anniversary of the implementation of PV downstream performance two days