China PV Market Faces Growing Downward Pressure as Demand Stays Weak

China’s PV market continues to face weak downstream demand, while rising supply and growing inventories are putting increasing pressure on prices across the supply chain.

Module Market Under Pressure

Domestic and overseas solar project activity remains relatively slow, with module manufacturers’ operating rates largely unchanged. Some manufacturers are already planning production cuts in September, and deeper reductions could follow if costs remain high while demand fails to recover.

Although module prices remained stable this week, actual transactions have softened. The market has shifted from higher quotations with limited sales to stable quotations with weaker transactions, signaling growing downside pressure.

Demand may gradually improve in October due to the traditional seasonal peak, but a stronger recovery is unlikely. By November, overseas procurement is expected to wind down while domestic project demand remains limited.

Upstream Markets Also Weaken

Polysilicon prices remained unchanged, with N-type polysilicon averaging RMB 30,900–32,000/tonne. Production is expected to increase in September, while downstream purchases remain limited, increasing inventory pressure.

Silicon wafer prices also held steady at RMB 1.22/wafer for N-type 210 and RMB 1.14/wafer for 182×210mm wafers, but the end of the overseas export window is expected to weaken demand.

Cell prices declined, with N-type TOPCon 210 cells averaging RMB 0.30/W and 210R cells at RMB 0.31/W.

Short-Term Outlook

With weak demand, rising inventories and reduced upstream cost support, China’s PV supply chain is likely to remain under pressure in the near term. Module, wafer and cell prices could continue to move lower or fluctuate at weak levels.