Shuangliang Wins Equipment Bid for Phase B of Daqo New Energy’s 15gw Module Production Project

PVTIME – Yesterday, Shuangliang Group subsidiary, Shuangliang Eco-Energy Co., Ltd. (hereinafter referred to as “Shuangliang”), announced that it had won the bid for providing phase B of Xinjiang Daqo Energy Co., Ltd. (hereinafter referred to as “Daqo”)’s 15GW photovoltaic module production and supporting projects with deposition reactor equipment. The estimated winning bid placed was 292.2 million yuan.

Shuangliang deposition reactors (Source: Shuangliang)

Shuangliang said that the winning of the bid means that the company’s equipment continues to be recognized by high-quality customers in the photovoltaic industry, which will help the company further improve its market share, influence, and profitability. At the same time, it is conducive to the expansion of the company’s photovoltaic industry chain.

Daqo was established in 1965 and entered the photovoltaic field in 2007. Mainly engaged in the production of polysilicon, Daqo first began producing photovoltaic modules on a small scale in 2009. In early 2020, there had been reports that Daqo was planning on establishing a 15GW annual production photovoltaic module project, but no further information had been released since then. Shuangliang’s announcement of securing the bid for deposition reactor equipment for phase B of this project likely signified that we will be learning more about the project soon.

Unlike its module business segment, Daqo’s is one of the world leaders in terms of polysilicon production. According to its Q3 2020 financial report, Daqo’s polysilicon production in the third quarter of 2020 reached 18,406 tonnes, its revenue was USD 125.5 million, gross profit was USD 45.3 million, and gross profit margin was 36.0%. The figures for Q2 2020 are 133.5 million USD, 22.7 million USD, and 17.0% respectively. The annual polysilicon production forecast for 2020 is about 75000-77000 tonnes.