by Polysilicon is an essential material used in the production of photovoltaic cells that convert sunlight into electricity. It can also be used in the production of semi-conducting wafers that are incorporated in electronic devices. The use of alternative energy sources across the globe is increasing amid environmental concerns associated with fossil fuels. Solar energy has emerged as one of the most viable renewable energy options to address this challenge, driving up the demand for polysilicon as a key component in the production of solar photovoltaic panels.
The global Polysilicon Market is estimated to be valued at US$ 12.8 Bn in 2023 and is expected to exhibit a CAGR of 6.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends
One of the key trends in the polysilicon market is the shift towards more cost-effective manufacturing processes. Over the years, manufacturers have focused on developing production technologies that are less energy and capital intensive to lower the costs associated with polysilicon production. The advent of new techniques such as fluidized bed reactor (FBR) technology have allowed producers to enhance efficiency and maximize output using less energy and raw materials. This has enabled the prices of polysilicon to come down considerably, making solar panels more affordable and competitive against conventional power sources. Another trend is the increasing emphasis on renewable energy adoption globally to meet climate targets. More countries are announcing targets and policies to promote the production and use of clean energy. This is anticipated to drive significant opportunities for players in the polysilicon supply chain over the next decade.
Porter’s Analysis
Threat of new entrants: The polysilicon market requires high capital investments for manufacturing plants and facilities which acts as a entry barrier for new players.
Bargaining power of buyers: Large semiconductor manufacturers have significant bargaining power over polysilicon suppliers due to their buying volume and ability to sign long-term supply agreements.
Bargaining power of suppliers: A few players dominate the polysilicon manufacturing market globally, giving them strong bargaining power over buyers.
Threat of new substitutes: There exists no close substitutes for polysilicon in the solar photovoltaic industry currently.
Competitive rivalry: The polysilicon market is highly competitive with top players aggressively expanding capacities to gain market share.
Key Takeaways
The global Polysilicon Market Demand is expected to witness high growth.
Regional analysis: The Asia Pacific region currently dominates the polysilicon market and is expected to continue its dominance over the forecast period led by strong demand from China, Japan and Southeast Asia. Europe and North America are also significant regional markets driven by government initiatives to increase solar power capacities.
Key players operating in the polysilicon market are Eurofins Scientific, Agilent Technologies Inc., SCS Global Services, Bureau Veritas SA, ALS Limited, Element Materials Technology (EXOVA), TUV Nord Group, Apal Agricultural Laboratory, Intertek Group PLC, EMD Millipore Corporation (Millipore Sigma), BioMerieux SA, Aurea AgroSciences, 3M Company, Charm Sciences Inc., Neogen Corporation, and Biolumix. These major players are focusing on capacity expansion as well as mergers and acquisitions to strengthen their position in the market.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
