The downstream applications of metal silicon are mainly organosilicon, polysilicon and aluminum alloy. In 2020, China’s total consumption will be about 1.6 million tons, and the proportion of consumption is as follows:
Organosilicon has the highest requirement for metal silicon, which requires chemical grade. The corresponding model is 421#, followed by polysilicon, the commonly used models are 553# and 441#, and aluminum alloy has the lowest requirement. However, in recent years, the demand for organosilicon polysilicon has increased and its proportion also increased, while the demand for aluminum alloys has not only not increased, but has also decreased. This is also a major factor that has led to a seemingly high production capacity of silicon metal, but a low operating rate, and a serious shortage of high-grade silicon metal in the market.
Production of silicon metal in 2021
According to statistics, from January to July 2021, the export volume of silicon metal reached 466,000 tons, a year-on-year increase of 41%. Domestic production of silicon metal, due to the low price of silicon metal in the past few years, coupled with environmental protection and other reasons, many enterprises with high costs have not been operating at a high rate or have been shut down directly. The shortage of high-quality raw materials, the impact of power cuts and accidents, and the limited production of silicon metal. As a major province of silicon metal, the operating rate of silicon metal in Yunnan has a great correlation with the season. In previous years, the operating rate was higher in the wet season. The water season is delayed, the power supply is insufficient, and the operating rate of silicon metal is much lower than in previous years. The supply of organosilicon and polysilicon on the demand side is in short supply this year, and the price is high. The high operating rate increases the demand for metal silicon. The combination of factors has led to a serious shortage of metal silicon.
supply and demand analysis of silicon metal
The overall production capacity of silicon metal is not small, and it has been in surplus for many years. However, the reasons for the current shortage are mainly as follows:
1. Long-term low prices, superimposed environmental protection factors, some enterprises have stopped production, and zombie production capacity has been formed. There are more than 200 metal silicon production enterprises, and it is difficult to count the actual production capacity and output.
2. The wet season in Yunnan was delayed and the output decreased.
3. A large factory stopped due to an accident, and the supply decreased.
4. Exports increased.
5. Demand for downstream organosilicon and polysilicon is increasing.
6. High-quality raw materials are scarce, and production growth is limited.