Wacker's Tennessee Polysilicon Plant at Risk of Closure, Corning's Hemlock Seen as Insulated
GLW has more than doubled off its 52-week low of $69.39.
Summary
Wacker Chemie's Charleston, Tennessee polysilicon plant may close after losing its two remaining customers, a direct consequence of new U.S. trade measures that treat foreign and domestic polysilicon equally. The plant employs about 600 workers and a decision is expected in the coming weeks. Corning's Hemlock Semiconductor, the only other U.S. producer, is more insulated because Corning purchases its solar-grade polysilicon to produce wafers domestically. This development highlights the unintended consequences of the August 6 trade measures, which include a price floor and tariffs on inbound polysilicon products. For Corning, the news is largely neutral to slightly positive as it reduces competitive pressure on Hemlock, though the broader policy uncertainty could affect the semiconductor supply chain.
At the time of this announcement, GLW was trading at $148.63 on NYSE in the Technology sector, with a market capitalization of approximately $125.8B. The 52-week trading range was $69.39 to $271.78. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Reuters.