Silicon Market

The global silicon market is projected to see steady growth over the next eight years, with an anticipated CAGR of +3.4% by 2030. In 2022, China dominated both consumption and production of silicon, while the United Arab Emirates had the highest per capita consumption. Global imports and exports of silicon also showed a positive trend, with significant growth in value terms. The average import and export prices of silicon saw fluctuations over the years, with the United States having the highest export price in 2022.

Market Forecast

Driven by increasing demand for silicon worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +3.4% for the period from 2022 to 2030, which is projected to bring the market volume to 5.1M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +5.0% for the period from 2022 to 2030, which is projected to bring the market value to $19.6B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Silicon

In 2022, approx. 3.9M tons of silicon were consumed worldwide; increasing by 4.9% on the previous year's figure. The total consumption volume increased at an average annual rate of +3.6% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. Over the period under review, global consumption hit record highs in 2022 and is likely to continue growth in the near future.

The global silicon market size expanded remarkably to $13.3B in 2022, growing by 8.8% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). The market value increased at an average annual rate of +2.4% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. Global consumption peaked in 2022 and is likely to see steady growth in the immediate term.

Consumption By Country

China (2.1M tons) constituted the country with the largest volume of silicon consumption, comprising approx. 54% of total volume. Moreover, silicon consumption in China exceeded the figures recorded by the second-largest consumer, Germany (241K tons), ninefold. The United States (237K tons) ranked third in terms of total consumption with a 6.1% share.

From 2012 to 2022, the average annual rate of growth in terms of volume in China amounted to +6.7%. The remaining consuming countries recorded the following average annual rates of consumption growth: Germany (+1.2% per year) and the United States (+1.2% per year).

In value terms, China ($5.2B) led the market, alone. The second position in the ranking was taken by Japan ($1.5B). It was followed by the United States.

From 2012 to 2022, the average annual growth rate of value in China amounted to +6.1%. In the other countries, the average annual rates were as follows: Japan (-0.4% per year) and the United States (+2.5% per year).

In 2022, the highest levels of silicon per capita consumption was registered in the United Arab Emirates (6.3 kg per person), followed by Germany (2.9 kg per person), South Korea (1.7 kg per person) and Japan (1.7 kg per person), while the world average per capita consumption of silicon was estimated at 0.5 kg per person.

From 2012 to 2022, the average annual rate of growth in terms of the silicon per capita consumption in the United Arab Emirates amounted to +10.1%. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: Germany (+0.9% per year) and South Korea (+0.5% per year).

Production

World Production of Silicon

In 2022, global production of silicon rose notably to 3.8M tons, increasing by 6.8% compared with the previous year. The total output volume increased at an average annual rate of +4.0% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2015 when the production volume increased by 11%. Global production peaked in 2022 and is expected to retain growth in years to come.

In value terms, silicon production fell to $12.2B in 2022 estimated in export price. The total output value increased at an average annual rate of +1.6% over the period from 2012 to 2022; however, the trend pattern remained consistent, with only minor fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2021 when the production volume increased by 26%. As a result, production reached the peak level of $13.6B, and then contracted in the following year.

Production By Country

China (2.6M tons) constituted the country with the largest volume of silicon production, comprising approx. 69% of total volume. Moreover, silicon production in China exceeded the figures recorded by the second-largest producer, Brazil (341K tons), eightfold. Norway (254K tons) ranked third in terms of total production with a 6.6% share.

In China, silicon production expanded at an average annual rate of +5.9% over the period from 2012-2022. In the other countries, the average annual rates were as follows: Brazil (+5.6% per year) and Norway (+1.0% per year).

Imports

World Imports of Silicon

In 2022, supplies from abroad of silicon increased by 0.7% to 2M tons, rising for the second consecutive year after two years of decline. The total import volume increased at an average annual rate of +2.9% from 2012 to 2022; the trend pattern remained consistent, with somewhat noticeable fluctuations being observed in certain years. The most prominent rate of growth was recorded in 2021 with an increase of 26%. Global imports peaked in 2022 and are likely to continue growth in the near future.

In value terms, silicon imports skyrocketed to $12.3B in 2022. In general, total imports indicated temperate growth from 2012 to 2022: its value increased at an average annual rate of +2.7% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +124.9% against 2020 indices. The most prominent rate of growth was recorded in 2021 when imports increased by 63%. Global imports peaked in 2022 and are likely to see steady growth in the near future.

Imports By Country

Germany (296K tons), Japan (225K tons), the United States (190K tons), the Netherlands (146K tons), China (108K tons), Thailand (101K tons), South Korea (94K tons), India (75K tons), Malaysia (74K tons), the UK (69K tons), the United Arab Emirates (64K tons) and Italy (59K tons) represented roughly 75% of total imports in 2022. Norway (53K tons) followed a long way behind the leaders.

From 2012 to 2022, the biggest increases were recorded for Malaysia (with a CAGR of +18.7%), while purchases for the other global leaders experienced more modest paces of growth.

In value terms, the largest silicon importing markets worldwide were China ($2.9B), Japan ($1.5B) and Germany ($1.2B), with a combined 46% share of global imports. The United States, South Korea, the Netherlands, Thailand, Malaysia, the UK, Italy, India, the United Arab Emirates and Norway lagged somewhat behind, together comprising a further 31%.

The United Arab Emirates, with a CAGR of +13.7%, saw the highest rates of growth with regard to the value of imports, among the main importing countries over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

In 2022, the average silicon import price amounted to $6,132 per ton, growing by 37% against the previous year. Overall, the import price, however, continues to indicate a relatively flat trend pattern. Global import price peaked at $6,255 per ton in 2012; however, from 2013 to 2022, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was China ($26,749 per ton), while the United Arab Emirates ($3,215 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the Netherlands (+3.6%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Silicon

In 2022, overseas shipments of silicon increased by 4.1% to 1.9M tons, rising for the second consecutive year after three years of decline. The total export volume increased at an average annual rate of +3.7% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2021 with an increase of 27%. The global exports peaked in 2022 and are likely to continue growth in the immediate term.

In value terms, silicon exports surged to $11.8B in 2022. In general, total exports indicated a temperate increase from 2012 to 2022: its value increased at an average annual rate of +3.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +126.2% against 2020 indices. The most prominent rate of growth was recorded in 2021 when exports increased by 72% against the previous year. Over the period under review, the global exports hit record highs in 2022 and are likely to see steady growth in the near future.

Exports By Country

China was the major exporting country with an export of around 648K tons, which reached 34% of total exports. Norway (294K tons) ranks second in terms of the total exports with a 15% share, followed by Brazil (14%) and the Netherlands (6.1%). Germany (85K tons), France (81K tons), Canada (71K tons), Malaysia (69K tons), Australia (64K tons), the United States (48K tons) and Spain (33K tons) followed a long way behind the leaders.

Exports from China increased at an average annual rate of +3.0% from 2012 to 2022. At the same time, France (+98.6%), Malaysia (+67.3%), Norway (+6.2%), Australia (+5.8%), Germany (+5.6%), Canada (+5.4%), Spain (+4.9%), Brazil (+3.6%) and the Netherlands (+3.2%) displayed positive paces of growth. Moreover, France emerged as the fastest-growing exporter exported in the world, with a CAGR of +98.6% from 2012-2022. By contrast, the United States (-4.7%) illustrated a downward trend over the same period. While the share of France (+4.2 p.p.), Malaysia (+3.5 p.p.) and Norway (+3.2 p.p.) increased significantly in terms of the global exports from 2012-2022, the share of China (-2.4 p.p.) and the United States (-3.3 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest silicon supplying countries worldwide were China ($2.3B), Germany ($2.2B) and the United States ($1.6B), together comprising 52% of global exports. Norway, Brazil, Malaysia, the Netherlands, France, Canada, Australia and Spain lagged somewhat behind, together accounting for a further 35%.

Among the main exporting countries, France, with a CAGR of +83.0%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices By Country

In 2022, the average silicon export price amounted to $6,126 per ton, with an increase of 27% against the previous year. Over the period under review, the export price, however, continues to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in 2021 an increase of 35% against the previous year. Over the period under review, the average export prices attained the peak figure at $6,570 per ton in 2012; however, from 2013 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was the United States ($34,196 per ton), while Spain ($2,949 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Malaysia (+7.6%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform