Wacker Chemie

German chemical group Wacker Chemie says its sales fell 22% year on year to €6.40 billion ($6.9 billion) in 2023. Its polysilicon division contributed EUR 1.6 billion to sales, down from EUR 2.29 billion in the preceding year.

Munich-based Wacker announced it intends to set up a new production line for semiconductor-grade polysilicon at its facility in Burghausen, Germany. The €300 million ($324.4 million) investment would expand the manufacturing capacity of the ultrapure polysilicon by over 50%.

The Munich-based chemical company was also able to significantly increase sales volumes for its polysilicon segment. In June, Wacker Chemie raised its forecast for the full year substantially.

A new report from Bernreuter Research reveals that Wacker Chemie lost its top spot in the 2020 global polysilicon rankings. It was also the only western company among the “Big Six” that are expected to form a new polysilicon super league in the PV industry. Overall, these six reached a total polysilicon capacity of 470,000 MT last year.

Scientists from Fraunhofer IISB, Wacker Chemie and Alzchem say unwelcome metals enter the silicon primarily through coating of the quartz crucible. The finding could enable manufacturers to make predictions about the quality of silicon blocks.

Rudolf Staudigl highlighted polysilicon manufacturing overcapacity among Chinese competitors as he announced Covid-19-battered second-quarter figures for the Munich-based chemicals conglomerate.

Wacker Chemie has taken the first steps of its restructuring program with the lay-offs set to particularly affect its German locations. Poor performance by the chemical company’s polysilicon business is the main cause of the crisis.

At the Solar Power Summit in Brussels today, the industry group said it is preparing to launch a supply-side oriented industrial policy for the PV sector in Europe. The manufacturing sector on the continent has been hard hit since 2012, and has been buffeted by a range of unfavorable policy decisions.

The German poly manufacturer expects to increase sales in the current financial year, however EBITDA is expected to be down as much as 20% as average prices for polysilicon will continue to decline.

If the German polysilicon manufacturer is the ‘Supplier A’ referred to in the Chinese panel maker’s annual report, Wacker has negotiated a near $33 million settlement from arbitration. As part of the settlement, Wacker will continue to supply its counterpart with poly up to 2028.