Leading the Metal Silicon Market: Trends, Challenges and Opportunities

At present, the supply and demand of the metal silicon market is seriously unbalanced, and the social inventory has exceeded 610,000 tons. The expected release of production capacity during the flood season in the southwest region has exacerbated the oversupply situation, resulting in continuous fluctuations at the bottom of the market. For this reason, polysilicon companies have taken measures to reduce production in an attempt to stabilize prices. However, the pace of destocking is still slow, and the industry's self-discipline measures have achieved little effect.

Amid these challenges, industry concentration is rising. The recent upgrade of energy efficiency standards has accelerated the elimination of obsolete production capacity, allowing leading companies to consolidate their market position through integration. It is expected that industry concentration (CR10) will rise from 50% to 60%, and the market structure will become more concentrated.

Looking ahead, long-term opportunities exist, especially with the commercialization of silicon-based battery technology. Innovative technologies such as Tesla's 4680 battery are gaining momentum, and the market size of these technologies is expected to reach a staggering $5.891 billion by 2032. This booming market has opened up new avenues for industrial silicon, making it a key component in the field of new energy storage.

The core trend of the metal silicon industry is the shift from "scale expansion" to "quality upgrade". As companies strive to improve production processes, green production methods, technological innovation and global operations have become key strategies for success. In this ever-changing landscape, stakeholders must remain agile and forward-looking in order to cope with the complex market environment and seize emerging opportunities.