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Prices are dramatically increased for solar market in July 2022

Prices are dramatically increased for solar market in July 2022

Current Solar Industry Situation with Exchange Rates Difference:

 

After the pandemic, all the years till now are badly affected, while most people assumed this situation would settle down in a year or two, proved wrong. Many renowned analysts shared their opinion that this hyperinflation would snuggle down by 2022, but the start of 2022 turned down all forecasts. In reality, the starting quarters of 2022, especially Q1 and Q2, caused global disturbance for every industry, including the solar industry as well. The loss triggered by Covid-19 wasn’t even covered, and the world saw new plagues in Europe’s natural gas crises and the ongoing war between Russia and Ukraine. Apart from these, at the start of Q3, China introduced its new trading guidelines for the zero Covid-19 policy. Along with this global logistic issue, their high prices also played a vital role in the overall circumstances from bad to worst.

 

Despite all these challenges and unusual circumstances, Omnis Power Co., Ltd has always tried and will keep providing its customers with the most cost-competitive prices and services. But under the current conditions, mainly due to the exchange rate differences between USD and EUR along with the 4% increase in freight cost. The solar modules prices and operating rate endure Pressure as wafers and cells follow up on New high Polysilicon prices:

- Polysilicon:

Polysilicon prices continued to rise this week, with overall mono polysilicon quotations arriving at a new high of roughly RMB 290/kg. Polysilicon prices have been ascending on a faster pace recently primarily owing to the excess demand status of the polysilicon market that has now exacerbated. Polysilicon businesses have signed for their long-term July orders, with some orders being signed until August. Several businesses are exhibiting apparent reluctance in selling by only willing to sign for 1-2 weeks of orders since they are optimistic towards subsequent polysilicon prices.

our prices for EU customers might get affected. For this reason, we are proactively trying to convey the challenges and the consequences that might appear in Q3.

- Wafers:

 Wafer prices had simultaneously risen this week, where M10 and G12 were concluded at a respective mainstream price of approximately RMB 7.25/pc (an increase of 5.69%) and RMB 9.55/pc. The particular upward price adjustments remain as the result from the sizable increment of polysilicon prices, for which wafer businesses have successively chosen to respond by increasing their prices.

- Cells

Cell prices had ascended evidently this week, where mono-Si M6, M10, and G12 were respectively risen to approximately RMB 1.22/W, RMB 1.26/W, and RMB 1.21/W in mainstream concluded prices. Recent cell prices have followed up on the inflation of the upstream sector, alongside a better transmittance of cost pressure, as well as a higher operating rate. Due to restricted upstream output of polysilicon and wafers, the cell market is currently somewhat insufficient in provision, and is maintaining robust quotations, where partial orders of mono-M10 cells are being concluded at a high level of RMB 1.28/W. A number of second and third-tier businesses are commenting on the slightly weakened willingness in current module procurement, where some new orders that are still under negotiation are expected to gradually fall in place next week

- Modules:

Module makers were attempting to increase their prices this week, which are not accepted by several domestic centralized projects as seen from their suspended inventory pull, though a number of distributed projects are still being concluded. Simultaneously, overseas markets are more accepting towards the corresponding prices, which generated additional export orders. With the persisting demand for modules, the overall operating rate of the industry has yet to be drastically downward adjusted, and the market is still under continuous bargaining.

 

In conclusion, Omnis Power Co., Ltd suggests that its valuable customers consider all the above facts to observe a price rise. The price lift in raw materials like cells, wafers, and polysilicon made us difficult to drop our prices by the end of August. Furthermore, we recommend our customers not to hesitate to share their target price so that we can work out the best possible quotation.


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