(Yicai Global) Sept. 14 -- CSG Holding’s shares jumped by the exchange-imposed limit after China’s largest producer of architectural glass said it had secured a CNY21.1 billion (USD3 billion) order to supply high-purity silicon to Trina Solar, the world’s leading solar panel maker.

CSG [SHE: 000012] jumped 10 percent to end today at CNY7.60 (USD1.09) a share, giving the Shenzhen-based company a market capitalization of CNY18.07 billion (USD2.6 billion).

CSG will supply Trina Solar with 70,000 tons of high-purity polycrystalline silicon from next year to 2026, it announced late yesterday. The value of the deal is based on current silicon prices, with actual prices to be negotiated on a monthly basis.

The boom in solar power station building is fueling huge demand for raw materials, leading to surging silicon prices and spurring producers to expand capacity. CSG announced in April a CNY4.5 billion (USD646 million) investment to build a polycrystalline silicon plant with an annual capacity of 50,000 tons in China’s Qinghai province.

CDG’s latest supply deal guarantees steady sales of polycrystalline silicon, the company added, noting that it also helps Trina Solar to secure a long-term supply of high-purity silicon.

Shares of Trina Solar [SHA: 688599] dipped 0.4 percent to end at CNY71.56 (USD10.28) amid a broader-based decline in Chinese stocks.

Editor: Futura Costaglione