Daqo agrees polysilicon supply deals with LONGi, unnamed customer

Chinese solar-grade polysilicon producer Daqo New Energy Corp (NYSE:DQ) on Wednesday unveiled two long-term supply contracts with solar module manufacturer Longi Green Energy Technology Co Ltd (SHA:601012) and another unnamed Chinese solar manufacturer.

Under the latest supply deals to be announced by the polysilicon maker recently, LONGi will be provided with 251,280 tonnes of high-purity mono-grade polysilicon by Daqo’s subsidiary Inner Mongolia Daqo between May 2023 and December 2027. The unnamed customer will receive 27,600 tonnes of high-purity mono-grade polysilicon from Xinjiang Daqo and Inner Mongolia Daqo in the period January 2023-December 2027.

Daqo’s total polysilicon nameplate capacity stands at 105,000 tonnes.

Actual prices on both contracts will be negotiated monthly based on market conditions.

“We expect the next generation of N-type cell technology will increase its market share rapidly in the next two to three years which will provide an opportunity to high-quality polysilicon providers to outperform among the peers," Daqo New Energy chief executive Longgen Zhang said in comments.

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