Most solar stocks traded lower in Hong Kong. As of press time, XINTE ENERGY (01799) fell 5.59% to HK$8.45, FLAT GLASS (06865) dropped 4.49% to HK$12.75, and XINYI SOLAR (00968) declined 3.06% to HK$3.80.

The decline follows reports of price cuts by multiple silicon wafer manufacturers. According to market data, 183N silicon wafers were priced between RMB 1.25-1.30 per piece, 210R silicon wafers at RMB 1.28-1.30 per piece, and 210N silicon wafers at RMB 1.60-1.65 per piece.

Analysts noted that oversupply in the silicon wafer market has worsened due to excessive outsourcing. In November, battery manufacturers tightened demand and imposed price caps on purchases, leading to a sharp reduction in orders. Cash-strapped second- and third-tier silicon wafer producers subsequently engaged in panic selling. This triggered a plunge in silicon material futures prices on the 11th.

CITIC Futures recently pointed out that prices have declined as expected due to delays in anti-overcapacity policies. The current pricing environment remains volatile, and a wait-and-see approach is recommended. Meanwhile, downstream demand for solar products remains weak, though silicon wafer demand remains relatively high. Silicon material production and sales have stayed balanced this month.

Market participants are closely monitoring the implementation of price floor policies by silicon material producers, as well as progress in capacity consolidation within the solar industry.