Government SupportThe proposal of a government-organized oligopoly in the Poly-Si space suggests a guaranteed profit margin for the major players, including Daqo.
Market RestructuringChina’s Ministry of Industry and Information Technology’s new proposed policy for the polysilicon segment, which includes monthly production quotas for major producers, may provide a more stable market environment for Daqo New Energy.
Price StabilityThe proposed price floor for polysilicon suggests potential upside, as it indicates government support for maintaining profitable price levels for major producers like Daqo.