Power rationing on industries in China's Sichuan province during Aug. 15-25 could shave CNY753 million ($108.4 million) off Tongwei Group's 2022 net profits, the world's top polysilicon producer said in a filing to the Shanghai Stock Exchange on Tuesday.

Tongwei said that during the power-rationing period, its Sichuan-based polysilicon production was running at at the minimum level required for production safety, and that it had to halt production of solar cells.

Tongwei's production of polysilicon and solar cells gradually came back on line from Aug. 26 and have been running full load since Sept. 1 when the power crunch eased in Sichuan, the producer added.

The company reported a 312% year-on year jump in its net profit for H1 2022 at CNY12.22 billion, with its H1 2022 revenue more than doubling to CNY60.34 billion.

According to the China Photovoltaic Industry Association (CPIA), Tongwei produced 109,000 mt of polysilicon in 2021, which accounted for roughly 22% of China's yearly output and about 18% of the world's annual output.

By the end of 2021, Tongwei has a capacity for 230,000 mt of polysilicon, with 107,000 mt of the capacity being in Sichuan, according to the company's website.


--Reporting by Patrick Han, phan@opisnet.com; Editing by Carrie Ho, cho@opisnet.com

(END) Dow Jones Newswires

09-06-22 0912ET