Polysilicon Industry Overview
The global polysilicon market size was estimated at USD 37.31 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 16.0% from 2024 to 2030.
The significant growth of the solar power industry has become a driving force behind the expansion of the market. The increasing adoption of solar energy as a clean and sustainable power source has led to a surge in solar panel production. Moreover, the expansion of electronics and semiconductor industries, driven by the emergence of 5G, IoT, and AI technologies, has driven demand for polysilicon. In addition, government policies and incentives, such as renewable energy targets, subsidies, and tax credits are playing a crucial role in increasing the demand for polysilicon in the solar industry.
Gather more insights about the market drivers, restrains and growth of the Polysilicon Market
The demand for polysilicon in the U.S. is mainly due to its use for manufacturing solar photovoltaic (PV) and semiconductors. The country’s commitment to clean energy sources has stimulated the demand for solar cells and modules, which had a positive impact on the U.S. market. Consistent reliance of the semiconductor industry on high-quality polysilicon for producing semiconductor wafers essential for manufacturing advanced electronic devices, such as smartphones and computers, has created lucrative growth opportunities for the polysilicon sector.
The expanding solar energy industry, favorable government policies and incentives for renewable energy adoption, and the growing importance of polysilicon in advanced electronics and semiconductor industry are crucial factors driving the U.S. polysilicon sector. According to the U.S. Department of Energy (DOE), the U.S. imported 12.2 GWdc of PV modules in Q1 of 2023, a 17% increase compared to the previous quarter. This has positively boosted the demand for polysilicon across the country and is anticipated to follow a similar trend. Investments in R&D, supply chain optimization, and sustainability efforts are expected to play a vital role in triggering the demand for polysilicon.
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- The global renewable energy market size was estimated at USD 1.21 trillion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 17.2% from 2024 to 2030.
- The global solar energy systems market size was valued at USD 160.3 billion in 2021 and is expected to register a compound annual growth rate (CAGR) of 15.7% from 2022 to 2030.
Polysilicon Market Segmentation
Grand View Research has segmented the global polysilicon market based on application and region:
Polysilicon Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)
- Solar PV
- Electronics (Semiconductor)
Polysilicon Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)
- North America
- US
- Canada
- Mexico
- Europe
- Germany
- UK
- Italy
- France
- Spain
- Denmark
- Norway
- Sweden
- Asia Pacific
- China
- India
- Japan
- South Korea
- Australia
- Central & South America
- Brazil
- Argentina
- Middle East & Africa
- South Africa
- Saudi Arabia
Key Companies profiled:
- High-Purity Silicon America Corporation
- OCI COMPANY Ltd.
- Qatar Solar Technologies
- REC Silicon ASA
- Tongwei Co., Ltd
- Tokuyama Corporation
- Wacker Chemie AG
- Xinte Energy Co., Ltd
- DAQO NEW ENERGY CO,.LTD.
- GCL-TECH
- Hemlock Semiconductor Operations LLC and Hemlock Semiconductor, L.L.C.
Key Polysilicon Company Insights
The market is highly characterized by expansion and joint venture strategies opted by companies globally. Established players such as BASF SE are investing in product development to gain a competitive edge in the market. In June 2023, Wacker Chemie AG announced the expansion of its capacity for semiconductor-grade polysilicon purification. By early 2025, Wacker Chemie AG plans to build a new production line to its Burghausen location, increasing capacity by more than 50%. This strategic investment project is anticipated to require capital expenditures exceeding USD 320.5 million.
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