(Yicai Global) June 20 -- Tongwei has received a CNY50.9 billion (USD7.6 billion) order for solar polysilicon products, the Chinese solar polysilicon giant’s second big order in three months.

Tongwei inked the deal with IDG Capital-backed Gokin Solar, the Sichuan-based firm announced late on June 17. The agreement runs from this year to 2026.

Gokin Solar will buy no less than 216,100 tons of polysilicon products at prices negotiated on a monthly basis. The contract is worth CNY50.9 billion after tax, according to recent prices published by the silicon industry division of the China Nonferrous Metals Industry Association.

On March 21, Tongwei also said it had signed a two-year agreement worth CNY44.2 billion with Chinese silicon wafer giant Longi Green Energy Technology. The purchase volume of that deal was 203,600 tons.

Tongwei’s announcement failed to boost its share price today. The stock [SHA: 600438] fell 0.5 percent to close at CNY54.25 (USD8.11). The broader Shanghai market ended flat.

To meet the rapidly growing demand, Tongwei said a CNY14 billion investment last July to build a high-purity crystalline silicon plant with annual capacity of 200,000 tons. When completed, the firm’s total output of the powder will almost double to 430,000 tons a year. At the end of last year, Tongwei’s annual production of silicon materials stood at 180,000 tons.

Silicon prices have increased over the first half of this year due to soaring global energy prices, despite more capacity coming on stream this year.

Price ranged from CNY263,000 to CNY270,000 (USD39,160 to USD40,200) a ton in the past week, versus CNY134,000 last June and nearly CNY70,000 (USD10,420) at the start of 2021, according to CNIA silicon industry data published on June 15.

Editors: Tang Shihua, Futura Costaglione