Polaris solar PV net news: import data from September polysilicon, suspended in China solar grade polysilicon processing trade imports filing (Ministry of Commerce, General Administration of customs in 2014 announcement, 58th) in the maintenance of polysilicon “double reverse” effect is not expected. Public opinion, within the domestic photovoltaic industry also take this is proposed for the country has issued such a dissonant tone of trade remedy measures, even the experts also openly challenged international SEMI, but all this talk is really nonsense.
First review “the 58th article” introduced the background. In January this year, China’s Ministry of Commerce announced final results of antidumping and countervailing measures, United States collected solar-grade polysilicon export enterprises 53.6%-59.1% “double” rate. But then, by way of processing trade imports (to circumvent the anti-dumping duties) of China poly silicon increased sharply as a proportion of the total imports, “double reverse” seem to be ineffective. Solar-grade polysilicon processing trade imports, you can avoid general trade channels from 4% import tariffs, so that processing trade imports of polysilicon can lower prices in the Chinese market.
Imported from polycrystalline silicon photovoltaic modules and the United States, and Korea, EU export comparison data: percentage of polysilicon by way of processing trade imports from these three countries and regions, but few see the corresponding solar module products return to the incoming countries. Therefore, there is any polysilicon processing trade policy to promote or undermine the influence of photovoltaic products export is limited. Related companies use for processing trade and duty-free imports of raw materials into China proper polycrystalline silicon, cell, module exports does not backtrack, but independent sales, even as a general trade export, get 13-17% of export tax rebates, profit at both ends.
Seeing this, on August 14, the Ministry of Commerce, General Administration of Customs issued its 2014 of 58th announcement on suspension of solar grade polysilicon processing trade imports filing decisions (58th), trade remedy measures taken to curb such trade malpractice. Meanwhile, taking into account the actual situation of enterprises, enterprises for the snap-network supervision enterprise’s execution postponed until December 31, 2014.
Unexpected is that solar-grade polysilicon import trends not only is not blocked, but worse. Silicon industry branch of China Nonferrous metals industry association’s latest report shows that polysilicon September China imports totaled 9942 tons, increased 18.7% per cent, another record high. Since the United States imports 1698 tonnes of solar grade silicon, seriously in the context of anti-dumping of 189 metric tons of polysilicon for semiconductor, but all other imported by means of processing trade.
Large poly-silicon exporters abroad in order to continue the trend of dumping by China, through processing trade forms to avoid “double reverse”, trying to catch the vetting before the September 1. From over provincial PV industry association understanding to, “58th, paper” introduced Hou, abroad was “double anti-” of polysilicon giant and domestic PV manufacturers signed of many processing trade contract of term over has 58th, paper of provides December 31, 2014 of term, continued to has 2015 years yihou, these processing trade in file released Hou of two week time in get province following of city level business sector of approved. This is obviously challenging, 58th files challenge customs and tax regulations.
58th article’s intention, is to consolidate the polysilicon “double reverse” effect, save the domestic polysilicon industry, consolidate the Foundation of PV industry raw materials, domestic PV industry chain, more balanced and healthy. Due to the Department of Commerce to Korea OCI polysilicon primarily export enterprises double tax rate of only 2.4%, with Germany the main export company WACKER polysilicon price commitment agreements are reached. Therefore, polysilicon processing trade list of prohibited classes of this measure has little effect on poly-silicon exports to these two countries, while the United States greater impact poly-silicon exports to my country, understandably is headquartered in United States California international expert organization SEMI publicly questioned the State-run economic daily at home. However, 2013 as a whole from the United States about 20,000 tons of polysilicon raw material imports into China, such as a result of the measures taken, the gap can be filled by 2014 to increase the production of domestic enterprises. From the second half of 2013, leading enterprises in major domestic polysilicon recovery, increase production capacity, production, silicon industry branch of China Nonferrous metals industry association based on the January-October output statistics, 2014 domestic polysilicon production is expected to exceed 120,000 tons, the net increase of 40,000 tons in 2013.
China poly silicon industry after nearly 10 years of development, there has been rapid development in the process of product quality, fully satisfy the material needs of photovoltaic companies. At present including Jiangsu zhongneng, encyclopedia of Xinjiang, the TBEA, tianhong silicon, Luoyang Zhonggui, most are still in the running of enterprises can produce in line with national standards for electronic grade polysilicon products and uses, and can replace imported products. Combination of polysilicon products enhance the quality of, domestic growth, slicing level is also rising, wafer of Silicon per watt and processing costs are falling. Polysilicon in the PV industry cost share is in constant decrease, polycrystalline silicon “double reverse” significant price increases are limited, impact on domestic PV industry chain are slim.
Therefore, the strict implementation of the 58th article, even if the imports, but the market balance of supply and demand will remain, will not cause wild swings in the market, from polysilicon prices can be clearly seen in recent months.
Some experts referred to within the industry polysilicon “double reverse” led to middle and lower manufacturing companies have to build plants overseas entirely is a kind of reverse causality, misleading claims. As we all know, pursue the course of polycrystalline silicon “double reverse” is the United States of China’s photovoltaic products twice “double reverse” countermeasures, while China’s middle and lower reaches of the PV manufacturers are also actively respond to the United States “double reverse”. Seeking to build plants overseas was one of their responses, which the Commerce Department polysilicon to the US “double reverse” eye to eye. This shows that polysilicon “double reverse” led to middle and lower PV manufacturers are forced to build plants overseas, is nonsense.
Some fear within the industry, polycrystalline silicon “double reverse” will encourage a polysilicon monopoly position of leading enterprises in the country. We knows, active of market more helps competition, China polysilicon enterprise in Shang century 70 generation once up to 15 home, but are very weak, in international polysilicon giant of pressure Xia have collapsed, semiconductor era yilai whole global polysilicon industry of development of more than 70 years is from industry dispersed to concentrated of history, but that history in the was born of international seven giant in the no China enterprise, caused China PV industry outbreak Shi, material relinquished and price odd high, is China leading enterprise of participation change has competition pattern, China poly silicon has the ability to service in the PV industry, consolidated China PV material base. Polycrystalline silicon “double reverse” before foreign polysilicon manufacturers low prices of the domestic market, and more than more than 40 domestic polysilicon manufacturers resist scale above 4 foreign polysilicon business impact, is still capable of producing enterprises. “Double back”, the number of enterprises production, Association reached 15, and GCL, TBEA, Guinness, LDK and other companies also started expansion plans. Domestic polysilicon companies in the big cake at the same time, more companies participated, orderly competition, good momentum has appeared.
Polycrystalline silicon “double reverse” and subsequent suspension of solar grade polysilicon processing trade imports application processing, not only contribute to the healthy development of domestic polysilicon industry, and can definitely make up for quantity and quality of the overseas (United States) and impact of imports. Text called for strict implementation of national import and export enterprises, 58th time, maintain the stability of the domestic polysilicon market.
Original title: polycrystalline silicon “double reverse” series of coordinated measures to promote PV industry development