Market rumors suggest that silicon prices have hit rock bottom, and outdated production capacity needs to be eliminated.

In the afternoon of April 13, the main contract of polysilicon futures reached the daily limit up, with a highest price of 34,770 yuan/ton, an increase of 9%. Influenced by this, stocks in the photovoltaic sector rebounded, with the silicon material sector leading the gains. Tongwei Co., Ltd. and JA Solar Technology Co., Ltd. hit the limit up, Daqo New Energy rose more than 10%, Hoshine Silicon Industry Co., Ltd., Hareon Solar Technology Co., Ltd., and GCL-Poly Energy Holdings Ltd. followed the upward trend. On the news side, a short article about production control, price protection, and profit recovery circulated on social media, mentioning that a "bottom line" was set for silicon material prices, excess production capacity needs to be cleared, not to grab orders at low prices, but the authenticity is currently unknown. Analysts believe that the appearance of this short article at this moment may be due to the decrease in geopolitical tensions, which may lead hedge funds to flow into new energy, or the reality of poor performance combined with losses may actually strengthen expectations for supportive policies.