Market highlights:
Spot: last week (2023.12.25-2023.12.29) metal silicon market price rebounded slightly. As of December 29, 2023, the average reference price of metal silicon market is 15537 yuan/ton, which is 305 yuan higher than the price of 152320 yuan/ton on December 22, an increase of 2%.
Supply: This week, Xinjiang and Inner Mongolia continued to limit load management, some enterprises stopped production and insulation, some enterprises took turns to limit electricity, and production declined. The number of furnaces opened in Xinjiang dropped sharply, from 166 the previous week to 123. Inner Mongolia power gap widened, load limit control continued. Xinjiang this week serious environmental problems, last week the thermal insulation furnace did not resume work as scheduled, and the scale of the affected further increased, Yili, Shihezi part of the silicon plant limited thermal insulation, resulting in a decline in production. And the unstable production led to the furnace condition affected, manufacturers cherish the sentiment increased, the quotation firm.
Demand: The overall downstream demand is moderate. Polysilicon production increased slightly, and the purchase of metal silicon remained stable; Silicone enterprises continue to start weak, the demand for metal silicon is general; With the impact of cooling and snowfall, aluminum rod enterprises in Inner Mongolia may reduce production, from the current market situation, aluminum rod enterprises are less likely to increase production, and aluminum rod production is expected to continue to decrease next week.
Afternoon summary: The supply side restrictions led to a marginal improvement in market sentiment, and the industrial silicon price center shook up. Although the polysilicon plant in Inner Mongolia also participates in the peak power rationing, it has little impact on production and little reduction in raw material procurement. The overall market is positive, but the futures price fluctuates in the range of 14000-14500.
