Daqo begins pilot production at new polysilicon facility, targets 105,000MT of capacity by start of next year

Daqo is targeting 105,000MT of polysilicon production a year once its plant reaches fully capacity in Q1 2022. Image: Daqo New Energy

Daqo New Energy has begun pilot production at its new 35,000MT Phase 4B polysilicon production facility, which has been completed ahead of schedule.

Daqo expects to significantly ramp up production at the site to a full capacity of 105,000MT per year by the end of Q1 2022.

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The polysilicon producer posted record company profits in Q3 2021 as it rode a wave of polysilicon price hikes, but warned of a challenging environment for future capacity expansions.

The company has a target of achieving total annual production capacity of 270,000MT by the end of 2024, however in October its CEO Longgen Zhang warned that the pace of polysilicon capacity expansion could slow in the future because of quotas concerning energy consumption in China.

Zhang said the company “will continue to execute our three-year plan to expand our production capacity to 270,000MT by the end of 2024” and that it would also “continue to improve our product quality to be market-ready for the next generation N-type technology.”

The high price of polysilicon is a major driver behind the soaring cost of modules over the past 18 months, which has caused delays to projects and uncertainty throughout the supply chain.

Last month, PV Tech Premium reported that modules prices are expected to remain above US$0.27c/W until well into next year.

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