Trade war fallout pushes REC Silicon to mulling sale of major US plant

October 4, 2019
Facebook
Twitter
LinkedIn
Reddit
Email
REC Silicon's shuttered Moses Lake facility in Washington. Source: REC Silicon

Norwegian polysilicon manufacturer REC Silicon is mulling selling its Butte, Montana silane gas facility as its business tanks because of the US-China trade war.

In a statement this week, the firm said the proceeds of any potential sale will be used to “retire the company’s debts, to provide a buffer for contingent liabilities (tax examination and indemnity loan).”

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The news comes just months after REC Silicon paused operations at its other major facility, Moses Lake in Washington state, laying off around 100 staff members.

Should the company finally opt to sell its Butte facility, the proceeds will also go towards restarting production at Moses Lake, a step the firm said will take once the trade dispute is “resolved”.

The goods produced in REC Silicon’s two US operations have been shut out of the world’s largest polysilicon market since China first imposed trade measures on US solar grade polysilicon in 2014, a feud that has escalated during US president Donald Trump’s tenure.

In August, the World Trade Organisation’s Dispute Settlement Body agreed to review whether the “safeguard measures” enacted on imports of crystalline silicon PV products by Trump’s administration last January  – which include duty rates of 30% and trade quotas over four years – should be made to comply with WTO rules.

At the close of September, REC Silicon had US$46.2 million in its coffers, according to a company trading update. The company forecasts a “sharp decline” in silicon gas shipments and expects to miss its 900 metric tonne forecast for the third quarter by 40 metric tonnes. It also expects semiconductor grade polysilicon sales to crash to 142 metric tonnes, down from 210 metric tonnes the quarter prior.

If the Montana operation is sold and Washington's remains shut, REC Silicon’s business will be reduced to its 15% stake in a polysilicon plant in Yulin, southeast China.

Roth Capital is advising the manufacturer on the possible divestment.

US solar prospects amid trade tensions and a changing incentive landscape will take centre stage at Solar Media's Solar & Storage Finance USA in New York on 29-30 October 2019.

16 June 2026
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 16-17 June 2026, will be our fifth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2027 and beyond.

Read Next

October 22, 2025
Recurrent Energy, Ampliform and Dimension Energy have announced new financing rounds this month for US solar projects.
October 22, 2025
Leeward Renewable Energy has started commercial operations at its 177MW Ridgely solar project in the US state of Tennessee.
October 22, 2025
US thin-film manufacturer First has revealed another transfer of its 45X manufacturing tax credits in a deal worth around US$750 million.
October 22, 2025
Abigail Ross Hopper, the president and CEO of US trade association the Solar Energy Industries Association (SEIA), has decided to step down from her roles at the end of January 2026.
October 21, 2025
Cypress Creek Renewables has achieved financial close on its 75MW Sundance solar-plus-storage project in Elbert County, Colorado.
Premium
October 20, 2025
New data suggests the traditional assumptions behind hail stow modelling may be underestimating the likelihood of damage to a PV system.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 10, 2026
Frankfurt, Germany