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.

Source: Tongwei Solar