Tongwei's Big Move: Three-Year Target of 100 GW

PVTIME - On February 11th, China's listed PV company Tongwei Co., Ltd.
issued two announcements: 2020-2023 Development Plan for High-purity
Crystalline Silicon and Solar Cell Business
and Announcement on the
Investment and Building of High-efficient Solar Cell and Supporting Project
with Annual Capacity of 30 GW,
making a splash in the industry.

In the announcement about mid-term development plan,
Tongwei makes it clear that the accumulated production capacity targets of
high-purity crystalline silicon businesses should be 80,000 t in 2020,
115,000-150,000 t in 2021, 150,000-220,000 t in 2022 and 220,000-290,000 t in
2023. The mono-crystalline materials should account for above 85%, and N-type
materials should account for 40%-80%; production cost and cash cost should
be 30,000-40,000 yuan/t and 20,000-30,000 yuan/t respective, with a sharp decrease in production
capacity cost.

In addition, the accumulated production capacity targets
for the solar cell business should be as follows: 30 GW-40 GW in 2020, 40 GW-60
GW in 2021, 60 GW-80 GW in 2022, and 80 GW-100 GW in 2023. The strategy layout
should focus on Perc+, Topcon, HJT and other new products, which should be
compatible with all specifications of Series 210 and below. Non-silicon cost
for Perc should be lower than 0.18 yuan/w.

According to the second announcement, Tongwei Co., Ltd. and
its subsidiary Tongwei Solar Co., Ltd. plan to sign the Investment Agreement
for PV Industry Base
with the People's Government of Jintang County of Chengdu City to build a high-efficient solar cell and
supporting project with annual capacity of 30 GW in Jintang County in Chengdu City. The project will be implemented by
stages with a total investment of 20 billion yuan
according to estimation. Phase I 7.5 GW Project is to be launched before March
of this year, which will be completed and put into operation within 2021.
Subsequent projects will be gradually completed and put into operation in the
future 3-5 years based on market demands.

Estimated based on the current price of mainstream cells in
the market, the 30 GW high-efficient solar cell project will add an
operating income of 30 billion yuan/year to the
Company after it is completed and put into operation.