China Solar Silicon Falls to Lowest Since 2020 Amid Overcapacity

China’s solar manufacturers are suspending production, cutting jobs and shelving investment plans to survive the price war.

Photographer: Qilai Shen/Bloomberg
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Solar silicon prices in China plunged to a three-year low as overcapacity and fierce competition slash profits across the industry.

Average prices of polysilicon dropped as much as 20% in the past week, according to a statement by the China Silicon Industry Association. Prices are at the lowest level since July 2020, according to data compiled by BloombergNEF.