[Silicon Metal Supply and Demand Roughly Balanced, Spot Prices Stagnant and Stable]: On the supply side, silicon metal production saw a slight WoW increase, driven by production ramp-ups in Xinjiang. In April, silicon metal supply and demand were in tight balance. The key supply-demand imbalance lay in constrained end-use demand, as downstream sectors such as polysilicon and silicone were unlikely to see sustained and significant demand growth. The supply-demand relationship largely depended on adjustments in operating rates of silicon enterprises on the supply side. Spot silicon metal lacked upward momentum, with prices continuing to fluctuate and consolidate.

[Post-holiday silicon metal market activity gradually recovers; focus on operating rate changes on both supply and demand sides]: During the first workweek after the Chinese New Year holiday, downstream users of silicon metal mainly inquired about prices, with only small volumes of rigid demand restocking transactions concluded. Trading firms engaging in both spot and futures market quoted prices actively, while silicon enterprises mostly maintained stable offers and adopted a wait-and-see stance compared to pre-holiday levels. As of February 26, SMM oxygen-blown #553 silicon in east China was at 9,200-9,300 yuan/mt, #441 silicon at 9,300-9,500 yuan/mt, and #3303 silicon at 10,200-10,400 yuan/mt. On the export front, overseas users showed active inquiry performance after the holiday, but export order prices remained involutionary. In the futures market, the most-traded contract weakened on Thursday afternoon, closing at 8,335 yuan/mt at the end of the session. Throughout the week, the most-traded contract moved within a range of 8,330-8,495 yuan/mt. Most silicon enterprises maintained strong wait-and-see sentiment with stable offers, while futures consolidated at lows and trading firms engaging in both spot and futures market quoted actively, resulting in on-demand transactions in the market.

[PV Express] Tongwei Co., Ltd. (600438) announced on February 24 that the company is planning to acquire a 100% equity stake in Lihao Qingneng through the issuance of shares and payment in cash, and to raise supporting funds. This transaction is not expected to result in a change of the company's controlling shareholder or actual controller, does not constitute a connected transaction, and is anticipated not to constitute a major asset restructuring. As the transaction is still in the planning stage and relevant matters remain uncertain, upon the company's application, trading of the company's shares, convertible bonds, and convertible bond conversion will be suspended starting from the market opening on February 25, 2026, with the suspension period expected not to exceed 10 trading days. Lihao was established in April 2021 and is primarily engaged in the R&D, production, and sales of semiconductor materials such as PV-grade high-purity polysilicon and electronic-grade polysilicon. Data shows that Qinghai Lihao currently has a polysilicon capacity of approximately 150,000 mt/year.

In January, the silicon metal market experienced a relatively loose supply-demand balance, with a theoretical inventory buildup of approximately 30,000 mt. In February, both supply and demand contracted simultaneously, and the market is expected to show a tight balance or minor destocking. The current high industry inventory still requires time to be digested, and the sustainability of destocking remains a key variable affecting price trends and market sentiment.

On December 22, Ordos announced that the company and its related parties jointly increased capital by 600 million yuan to the majority-owned subsidiary, Polysilicon Company. Among them, the company's controlling shareholder, Cashmere Group, contributed 234 million yuan; the company's wholly-owned subsidiary, Dongyu Company, contributed 216 million yuan; and the company's majority-owned subsidiary, Electric Metallurgy, contributed 150 million yuan. After the capital increase, the registered capital of Polysilicon Company rose from 500 million yuan to 1.1 billion yuan, while the shareholding ratios of all shareholders remained unchanged. This related-party transaction has been approved by the board of directors and does not require submission to the shareholders' meeting for review. According to SMM, the previously announced list of 10 majority-owned polysilicon companies under the polysilicon capacity integration platform—Beijing Guanghe Qiancheng Technology Co., Ltd.—did not include this company.