Korea poly dumping assault before the record in time for the midterm review

Polaris solar PV net news: silicon industry branch of China Nonferrous metals industry association (hereinafter referred to as the silicon industry branch), according to customs data, according to a recent report released in November 2016, China’s imports increased sharply to 13584 tons of polysilicon, rose 56.5%, an increase of 35.5%. 2016 as of November, the cumulative imports reached 125798 tons, an increase of 18.2%, the average monthly import volume in 11436 tons.

Analysis on silicon industry branch, as one of the main causes of the November polysilicon imports surged: from Korea imported polysilicon again reached record levels. Meanwhile, on November 22, 2016, China’s Ministry of Commerce issued bulletin 2016 71st, officially announced that it will be based on applications submitted by the applicant to the domestic industry, originating in Korea’s imported solar grade silicon, the application of anti-dumping measures conducted an interim review investigations.

In reviewing the determination

Korea poly surprise dumping against China

Silicon track data showed November 2016 China Korea imports 8366 tonnes, significantly increased 63.7% per cent, the share of total imports reached an unprecedented 61.6%. Today January 2016 – November from Korea imports 62947 tons, 50% per cent of total imports, remained among the imports in the first place.

The industry believes that November 2016 from Korea one-month surge in imports, partly because November lower demand warmer than in October, demand for imported raw materials increase, so Korea polysilicon plant in October due to weak demand before the backlog of inventory in November, flooding the domestic market.

But on the other hand, Korea silica material factory in Korea poly influence midterm review, set up trading companies in China in advance, advance clearance, in time for the determination of production and inventory exports to the Chinese market. “This is because China’s Ministry of Commerce according to the application submitted by the applicant to the domestic industry, are native to Korea’s imported solar grade silicon, the application of anti-dumping measures conducted an interim review investigations. “The securities Journal said one industry insider,” midterm review is expected to improve the Korea anti-dumping duty rate of polysilicon, so they want to catch the review decision, to clear out inventory, surprise folks. “

This means that, with effect from January 20, 2014, originating in Korea policy of anti-dumping tax on imported solar grade silicon, is expected to pass interim review investigation, according to Korea to China poly-si adjusted the actual dumping margin.

From 2008, the domestic polysilicon industry that were from the United States and Korea the serious impact of the dumped imports. Until the end of 2011, due to the sharp increase in dumped imports, import prices continue to fall, domestic polysilicon companies caught in the massive production of serious trouble. On July 20, 2012, the Commerce Department Office-bulletin began an anti-dumping investigation. On January 20, 2014, the Ministry of Commerce released on native to the United States and Korea’s imported solar grade polysilicon notice of the final determination of the anti-dumping investigation, ruled native United States and Korea investigated productions were dumping and material injury to the domestic industry, there exists a causal relationship between dumping and injury.

But in China Korea imposing trade relief measures under the premise of polysilicon, the data show, Korea polysilicon dumping is not affected at all.

Industry insiders told reporters, “after the implementation of anti-dumping measures, Korea polysilicon dumped imports does not get any relief. This is because the major dumping of Korea polysilicon manufacturers bear the tax rate is too low. “

According to the final decision, since January 20, 2014 in China originating in Korea surveyed 2.4%-48.7% anti-dumping tax on products. But, Korea productivity 90% Korea OCI Corporation and Korea Silicon Corporation both applicable anti-dumping tax rates are very low 2.4% and 2.8%. An industry source had told securities daily reporters, “OCI, and Korea silicon, polycrystalline silicon business is a large chemical group, the Korea industry second only to Samsung Group, Hyundai heavy industries, the large multinational.”

Polysilicon price trend overall downward

Domestic production supply guaranteed

Originating in Korea’s solar grade silicon by anti-dumping measures applicable to imports of the interim review investigation, would influence polysilicon market?

In terms of production capacity, according to the silicon industry branch of statistics, by the end of 2016, the domestic polysilicon production enterprises by the end of 2015, 13 returned to 17, effective capacity amounted to 208,000 tons/year, in 2016 the domestic polysilicon production reached 193,000 tons, jumped to 14.2% in 2014, representing a more substantial increase in 46.2%. In addition, China polysilicon capacity effectively to global 45.7%.

Specifically, the polysilicon production in China in the first quarter of last year to 49,000 tons, second quarter production to 51,000 tons, third-quarter production of 47,000 tons and 46,000 tons per quarter, production in the second half than the first half of 7%. The industry believes that this is linked to the “6˙30” Installing surge after the need to turn the light on. September-November of last year, domestic maintenance enterprises gradually reach 8 until December, returned to full capacity, a domestic single-month record high.

Capacity to provide stable prices guaranteed. Latest statistics show that in December 2016, higher domestic polysilicon price shocks when the month averaged 132,000 yuan/ton, the month for 136,800 Yuan/ton, or 3.66% per cent in the month, compared with the 2015 period prices rose 21.59%.

In this regard, the analysis of the industry, in December last year the main causes of domestic polysilicon prices include: battery, wafer manufacturers and raw materials for basic allwork, polysilicon raw materials orders are concentrated, polysilicon manufacturers to stock inventory, supply and demand plus some polysilicon manufacturers prices under a previous contract.

These insiders, “long term, the industry believes that China’s polysilicon prices steady, rising fatigue, future overall down market supply. The future, not because of the Korean tax caused by inadequate supply of polysilicon prices, on this basis, as China’s quality quality technical and capacity release, increase in proportion of low cost high quality polysilicon, supply security, provide cheap raw materials for PV parity. “

Original title: Korea polysilicon dumping assault before the record in time for the midterm review decision “troubled waters”?

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