Silicon wafer and polysilicon markets see price increases

The silicon wafer and polysilicon markets are showing signs of recovery and price increases driven by rising demand and production costs.

In the semiconductor sector, GlobalWafers Co., Ltd. Chairperson Xu Xiulan confirmed that both spot and long-term contract prices for silicon wafers are rising. This shift follows a period of inventory adjustment. Some customers are reportedly willing to accept double-digit price increases to secure supply, particularly for materials used in AI applications, including advanced processes and third-generation semiconductors like gallium nitride (GaN) and silicon carbide (SiC).

Simultaneously, China’s polysilicon market is experiencing a tentative recovery. While polysilicon transactions remain limited, wafer prices have surged due to increased downstream demand. This spike is attributed to overseas cell manufacturers accelerating purchases to mitigate potential trade risks related to US Section 232 tariffs, alongside the start of the traditional installation season in India.