{"id":148157,"date":"2025-01-02T12:36:41","date_gmt":"2025-01-02T12:36:41","guid":{"rendered":"https:\/\/www.pv-tech.org\/?p=148157"},"modified":"2025-01-02T12:36:43","modified_gmt":"2025-01-02T12:36:43","slug":"rec-silicon-abandons-us-polysilicon-production-at-moses-lake","status":"publish","type":"post","link":"https:\/\/www.pv-tech.org\/rec-silicon-abandons-us-polysilicon-production-at-moses-lake\/","title":{"rendered":"REC Silicon abandons US polysilicon production at Moses Lake"},"content":{"rendered":"\n
\"\"
REC said the shutdown follows its failed attempts to increase the purity of its polysilicon product. Image: REC Silicon.<\/figcaption><\/figure>\n\n\n\n

US polysilicon producer REC Silicon will cease production at its polysilicon facility in Moses Lake, Washington.<\/p>\n\n\n\n

REC said the shutdown follows its failed attempts to increase the purity of its polysilicon product, which it said led to a failed qualification test announced on 17th<\/sup> December 2024.<\/p>\n\n\n\n

As a result, the company claimed that its US offtake customer, Hanwha Qcells, \u201cIs not able to wait any longer for delivery of product that consistently meets the requirements at the correct levels and can be delivered at the needed volumes.\u201d<\/p>\n\n\n\n

REC said the Moses Lake facility will be closed completely within three months, and its workforce will be \u201creduced accordingly.\u201d It will retain the equipment needed to produce silicon gases, which it said would allow it to capitalise on potential future demand for silicon anode or other gases.<\/p>\n\n\n\n

REC signed a supply agreement with Qcells<\/a> \u2013 a subsidiary of Korean conglomerate Hanwha Solutions \u2013 in September 2023. The deal was the first step in Qcells\u2019 plan to produce entirely US-made solar modules, centred on its ingot-module manufacturing hub in the state of Georgia.  However, the closure of Moses Lake throws this plan into doubt.<\/p>\n\n\n\n

Hanwha Solutions also became the majority shareholder of REC Silicon<\/a> in April 2022, changing the company\u2019s executive roster<\/a> and announcing plans to restart production at the then-dormant Moses Lake facility.  Production at Moses Lake was delayed<\/a> from Q4 2023 until Q2 2024, during which time REC announced the shutdown of another polysilicon production facility<\/a> in Montana.<\/p>\n\n\n\n

This news has raised some eyebrows across the solar industry. Polysilicon market expert Johannes Bernreuter said in a post on LinkedIn<\/a>: \u201cThe company\u2019s argument\u2026that its only polysilicon customer Qcells USA Corp., a subsidiary of the South Korean Hanwha Group, ‘is not able to wait any longer for delivery of product’ is strange as the start-up of\u00a0ingot and wafer production at Qcells has been delayed to mid-2025.\u201d<\/p>\n\n\n\n

Bernreuter also pointed to \u201cinconsistencies among REC Silicon\u2019s recent statements on polysilicon purity and the qualification test.\u201d<\/p>\n\n\n\n

In May 2024<\/a>, the company said: \u201cMost of the key quality measures for the product have been met.\u201d<\/p>\n\n\n\n

More broadly, efforts to bring polysilicon and ingot\/wafer production capacity onshore to the US have moved slowly. One of very few potential producers, Highland Materials, announced plans for a new facility in April 2024<\/a>. PV Tech Premium <\/em>took a deep dive into the challenges that US companies face<\/a> in trying to bring the most upstream portions of the solar supply chain \u2013 polysilicon, ingots and wafers \u2013 to the US last year.<\/p>\n\n\n\n

On top of technical barriers, the cut-throat price competition among the major Chinese producers, which has seen prices plummet over the last 1-2 years, has proved a major stumbling block.<\/p>\n\n\n\n

Earlier this week, PV Tech <\/em>reported that Tongwei Solar and Daqo New Energy \u2013 two of the largest Chinese polysilicon manufacturers \u2013 would cut their polysilicon production<\/a> in an effort to address the rampant price competition and overcapacity in the industry.<\/p>\n\n\n\n

More to follow…<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

The company claimed that its US offtake customer, Hanwha Qcells, \u201cIs not able to wait any longer for delivery of product”. <\/p>\n","protected":false},"author":161,"featured_media":61665,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[1],"tags":[69,132,3043,841,79],"paywall-tags":[],"regions":[29],"industry-segments":[8,12],"class_list":["post-148157","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-csi-manufacturing","tag-polysilicon","tag-polysilicon-production","tag-rec-silicon","tag-us","regions-americas","industry-segments-manufacturing","industry-segments-materials"],"acf":[],"yoast_head":"\nREC Silicon abandons US polysilicon production at Moses Lake- PV Tech<\/title>\n<meta name=\"description\" content=\"The company claimed that its US offtake customer, Hanwha Qcells, \u201cIs not 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