l'Actualité du Solaire

The Chinese Tongwei has hit the headlines, announcing a massive increase in its silicon production capacity. It should reach 80,000 tonnes in 2020,

115,000-150,000 t in 2021, 150,000-220,000 t in 2022 and 220,000- 290,000 t in 2023. Monocrystalline materials are expected to account for more than 85% and N-type materials are expected to account for 40-80% of these capacities; production and cash costs are expected to be 30 % and 30 % respectively.000 to 40,000 yuans/t and 20,000 to 30,000 yuans/t respectively, with a sharp drop in cost due to the increase in production capacity. (Editor's note The current price of silicon is 73,000 RMB; remember that China's total production capacity was 390,000 tonnes at the end of 2018 and around 500,000 tonnes at the end of 2019; world production capacity was 600,000 tonnes at the end of 2018).

The company also announces that it wants to reach a cell production capacity that would increase from 30 GW - 40 GW in 2020, 40 GW - 60 GW in 2021, 60 GW - 80 GW in 2022 and 80 GW - 100 GW in 2023. (Editor's note: world demand is in the order of 120,000 GW.). Production is expected to focus on Perc +, Topcon, heterojunction and other new products. It should be compatible with all formats, 210 or smaller. The cost for Perc panels should be less than 0.18 yuan / W. This plant would be close to Chengdu city.

EnergyTrend of 12 March

Editor's note What is curious about Tongwei's strategy is the deadlock in the production of wafers, an intermediate stage between silicon and cells. It is perhaps in order to spare LONGi (unless there is an agreement between the two) which specialises in wafers and also leads a race for volumes.

The announcement of this desire at the time of the coronavirus crisis perhaps means that the management of Tongwei believes that the small manufacturers will not be able to survive and that it is necessary to prepare to take their place.