The two leading enterprises have successively raised product prices. What signal does this reveal?
on January 26, the leading silicon wafer enterprise Tianjin Zhonghuan Semiconductor Co.Ltd(002129) comprehensively raised the price of monocrystalline silicon wafer, while 10 days ago, the industry leader Longi Green Energy Technology Co.Ltd(601012) took the lead in raising the price of silicon wafer. Affected by the news of price rise, Tianjin Zhonghuan Semiconductor Co.Ltd(002129) and Longi Green Energy Technology Co.Ltd(601012) share prices performed well, closing up 4.15% and 3.84% respectively. Their market value rose by more than 21 billion yuan a day.
Or affected by the above news, the whole photovoltaic sector also rose sharply. Yunnan Chuye, Jiangsu Zhongtian Technology Co.Ltd(600522) , Yinlong shares rose by more than 6%, including Qingdao Tianneng Heavy Industries Co.Ltd(300569) , Jiangsu Zhenjiang Newenergy Equipment Co.Ltd(603507) , Shenzhen Hopewind Electric Co.Ltd(603063) , Xj Electric Co.Ltd(000400) , Jiangsu New Energy Development Co.Ltd(603693) , Nari Technology Co.Ltd(600406) , Hainan Drinda Automotive Trim Co.Ltd(002865) .
On the same day, Cecep Solar Energy Co.Ltd(000591) photovoltaic module leader, Jingke energy, rose sharply on the listing, which also improved the market’s confidence in the photovoltaic sector. On the first day of listing, the stock closed up 111%, with a total market value of more than 100 billion yuan.
The price of silicon chip leader rose, and the share price rose sharply
On January 26, the leading silicon wafer enterprise Tianjin Zhonghuan Semiconductor Co.Ltd(002129) announced a comprehensive increase in the price of monocrystalline silicon.
On the same day, Tianjin Zhonghuan Semiconductor Co.Ltd(002129) announced the latest silicon wafer price. Compared with the previous price, the price was comprehensively increased to 160 μ M as an example, the price of silicon wafers of different specifications will be increased by 0.4 ~ 0.92 yuan / piece.
Affected by the news of price rise, Tianjin Zhonghuan Semiconductor Co.Ltd(002129) share price rose sharply at the end of the day, rising nearly 5% at one time and finally closing up 4.15%, with the latest market value of 140.2 billion yuan; Longi Green Energy Technology Co.Ltd(601012) share price also surged, closing up 3.84%, with the latest market value of 418.5 billion yuan.
Moreover, the entire photovoltaic sector also rose sharply across the board. Yunnan Chuye, Jiangsu Zhongtian Technology Co.Ltd(600522) , Yinlong shares rose by the limit, Qingdao Tianneng Heavy Industries Co.Ltd(300569) , Jiangsu Zhenjiang Newenergy Equipment Co.Ltd(603507) , Shenzhen Hopewind Electric Co.Ltd(603063) , Xj Electric Co.Ltd(000400) , Jiangsu New Energy Development Co.Ltd(603693) , Nari Technology Co.Ltd(600406) , Hainan Drinda Automotive Trim Co.Ltd(002865) increased by more than 6%, and Jiangsu Daybright Intelligent Electric Co.Ltd(300670) , Shenzhen Zhongzhuang Construction Group Co.Ltd(002822) , Beijing Creative Distribution Automation Co.Ltd(002350) , Shanghai Electric Power Co.Ltd(600021) , Kunshan Kinglai Hygienic Materials Co.Ltd(300260) increased by more than 5%.
Just 10 days ago, on January 16, another leading silicon wafer enterprise Longi Green Energy Technology Co.Ltd(601012) took the lead in raising the price of silicon wafers. Among them, single crystal silicon p-type M10 165 μ The current price of m thickness is 6.15 yuan / piece, up 5.1%; Monocrystalline silicon p-type M6 165 μ The current price of m thickness is 5.15 yuan / piece, up 2.4%; Monocrystalline silicon p-type 158.75/223mm 165 μ The current price of m thickness is 4.95 yuan / piece, up 2.5%.
once fell into a “price war”
before this round of silicon wafer price rise, the silicon wafer industry once fell into a price war.
On November 30, 2021, the industry leader Longi Green Energy Technology Co.Ltd(601012) adjusted the official quotation of monocrystalline silicon wafer, and the price of silicon wafer of various sizes decreased by 0.41 yuan / wafer ~ 0.67 yuan / wafer, with a decrease of 7.2% ~ 9.8%. This is the first time that Longi Green Energy Technology Co.Ltd(601012) official silicon wafer quotation has been lowered since May 2020.
Subsequently, on December 2, 2021, the second in the industry Tianjin Zhonghuan Semiconductor Co.Ltd(002129) also lowered the price of silicon wafer. Compared with the price of silicon wafer in previous November, G1 silicon wafer decreased by 0.52 yuan / piece, and the quotation was 5.15 yuan / piece, a decrease of 9.1%; M6 silicon wafer decreased by 0.72 yuan / piece, and the quotation was 5.05 yuan / piece, a decrease of 12.48%; G12 silicon wafer (170) μ m) The price decreased by 0.55 yuan / piece, and the quotation was 8.55 yuan / piece, a decrease of 6.04%. The quotation of M10 silicon wafer was 6.21 yuan / piece, and the quotation of super large silicon wafer was 218.2mm, and the quotation was 9.22 yuan / piece.
On December 16, 2021, Longi Green Energy Technology Co.Ltd(601012) announced to reduce the price of monocrystalline silicon again. According to the Longi Green Energy Technology Co.Ltd(601012) official website, for 165 μ M thick p-type monocrystalline silicon wafer, M10 size is reduced from 6.20 yuan to 5.85 yuan, with a reduction range of 5.7%; The size of M6 is reduced from 5.32 to 5.03 yuan, with a reduction range of 5.5%; The size of G1 is reduced from 5.12 yuan to 4.83 yuan, with a reduction range of 5.7%.
On December 30, 2021, Tianjin Zhonghuan Semiconductor Co.Ltd(002129) reduced the price for the second time. The company disclosed that the prices of 210mm, 182mm, 166mm and 158.75mm silicon wafers with 160um thickness were 7.70 yuan, 5.70 yuan, 4.90 yuan and 5.00 yuan respectively, which were 0.65 yuan, 0.39 yuan, 0.05 yuan and 0.05 yuan lower than the quotation on December 2 (the first price reduction). The price reduction of 210mm and 182mm silicon wafers is particularly obvious, with a decrease of 7.78% and 6.40% respectively.
at that time, some brokerage analysts said that the decline in silicon wafer prices was due to the lack of short-term terminal demand on the one hand; On the other hand, after the price of the industrial chain peaked, enterprises should also consider the impact of inventory factors. The downward trend of industrial chain prices is conducive to stimulating the recovery of terminal installed demand.
why did the silicon chip faucet suddenly rise in price
From the above price adjustment actions, it can be seen that the actions of the leader and the second in the silicon wafer industry are highly consistent, and there is a tendency to catch up with each other. Analysts pointed out that silicon wafer enterprises ended the previous “price war” and successively increased product prices. On the one hand, it is related to the rise in the price of upstream silicon materials, on the other hand, it is related to the strong demand caused by goods preparation years ago and the rebound of battery demand for silicon wafers.
According to the data of the silicon industry branch, the price of silicon material has rebounded for three consecutive weeks: in the week of January 12, the average transaction prices of single crystal re feeding, single crystal compact material and single crystal cauliflower material all increased slightly, with an increase of less than 1.5%; In the week of January 19, the price of silicon materials continued to rise, in which the average transaction price of single crystal re feeding, single crystal compact and single crystal cauliflower materials increased to varying degrees, with an increase of more than 2%; In the week of January 26, the price of silicon materials remained stable and rose slightly, among which the average transaction price of single crystal re feeding, single crystal dense materials and single crystal cauliflower materials increased by less than 0.5%.
Monita research pointed out that the rise in the price of silicon wafers is mainly due to the strong demand caused by the preparation of goods years ago, and the demand for silicon wafers from batteries is rebounding at the bottom. According to solarzoom, due to the limitation of silicon material supply, the resumption of monocrystalline silicon rod production does not meet the expectation. Due to the impact of Qinghai earthquake, the supply of silicon wafer is slightly insufficient, and the price may continue to rise before and after the Spring Festival.
leading new shares of photovoltaic modules rose 111% on the first day of listing
On the 26th, Cecep Solar Energy Co.Ltd(000591) photovoltaic module leader Jingke energy rose sharply on the market, which also improved the market’s confidence in the photovoltaic sector. Jingke energy once triggered a temporary stop due to excessive increase, and finally closed up 111%. The share price was reported to 10.55 yuan / share, with a total market value of 105.5 billion yuan.
According to public information, Jingke energy is a high-tech enterprise integrating R & D, production and sales of monocrystalline silicon wafer, polycrystalline silicon wafer, Cecep Solar Energy Co.Ltd(000591) battery and Cecep Solar Energy Co.Ltd(000591) battery module. It is one of the important photovoltaic module manufacturers in the world. At present, Longi Green Energy Technology Co.Ltd(601012) , Trina Solar Co.Ltd(688599) , Ja Solar Technology Co.Ltd(002459) , and Jingke energy are the top four enterprises in the world in terms of PV module shipments. The listing of Jingke energy means that the four leading players of photovoltaic “gather a shares”.
From the perspective of the industry, the performance growth rate of A-share photovoltaic sector in 2021 is generally high, benefiting from the good downstream demand, the increase of capital expenditure in main production links, the large sales volume of photovoltaic products and the increase of upstream prices. Among the companies that have disclosed the performance pre increase announcement, Wuxi Shangji Automation Co.Ltd(603185) , Tongwei Co.Ltd(600438) , Tbea Co.Ltd(600089) , Hoshine Silicon Industry Co.Ltd(603260) , Ginlong Technologies Co.Ltd(300763) , Zhejiang Jingsheng Mechanical & Electrical Co.Ltd(300316) , Suzhou Good-Ark Electronics Co.Ltd(002079) it is expected that the growth rate of net profit in 2021 will exceed 50%. Among them, Tongwei Co.Ltd(600438) net profit increased by 122% – 136%, Tbea Co.Ltd(600089) increased by 173% – 194%, Zhejiang Jingsheng Mechanical & Electrical Co.Ltd(300316) increased by 84% – 114%.
Tang junnan, an analyst at Central China Securities Co.Ltd(601375) , said that in 2022, with the increase of silicon supply, the decline of commodity prices and the reduction of shipping costs, the price of photovoltaic modules is expected to re-enter the downward channel, thus driving the installed demand in China and the world. In the short term, the risk appetite of the secondary market is reduced, and there are signs of rebound after the continuous decline of the photovoltaic sector. Considering the industrial conditions, valuation and market sentiment, we still need to be cautious in the short term. In the medium term, it is suggested to focus on alleviating the shortage of raw material supply and increasing the demand for photovoltaic installation, and the layout of beneficiary fields, including thermal field materials, photovoltaic glass, integrated module factory and leading enterprises in the field of inverter.
According to Zeng duohong, an analyst at Soochow Securities Co.Ltd(601555) , in January 2022, the demand for distributed and overseas rush loading in China was strong, and the demand in the downstream of the industrial chain increased. With the month on month growth of silicon output, the price of silicon wafer still rose slightly, which fully verified the strong demand. In the first quarter of 2022, more than 150000 tons of new silicon material capacity will be released. After the Spring Festival, the industrial chain may be opened, and the real sharp price reduction will further stimulate the demand. The demand for centralized purchase of components has been partially released, and the production scheduling of each component factory continues to increase in January 2022. It is expected that the industrial production scheduling will increase by 10-30% in January 2022, basically unchanged in February, and not light in the off-season in the first quarter of 2022. It is estimated that the global PV installed capacity will be 220-240gw in 2022, an increase of about 40% at the same time. China’s photovoltaic policy is flexible and friendly, and the game inflection point of the industrial chain has arrived.
