The spot price of polysilicon has been hovering between US$28-32/kg recently and is expected to stay steady at around US$30/kg in March, according to industry sources.

The solar market experienced weak demand in second-half 2011, with many downstream firms unable to honor their contracts with suppliers. Polysilicon firms have reacted by sending them legal letters warning of the consequences, the sources said. But the polysilicon firms have also made it clear that they are willing to renegotiate prices with downstream customers as long as they pick up shipments on time.

The market believes demand will slow down in March, and price of polysilicon should remain around US$30/kg. In addition, industry sources added, the urgent orders in recent months have not helped to increase capacity utilization rates for everyone, with only a few firms benefiting. 

Source:digitimes