Russia's largest producer of refined silicon, part of the Rusal group, will suspend operations from January 1, 2026. This was reported by the company's press service. The reason cited was global overproduction and the influx of cheap imported raw materials into the country.
The company in question is AO "Kremny", located in the Irkutsk Region. The plant has a production capacity of up to 34,000 tons per year and is the main supplier of silicon in Russia. The group's second enterprise, "Kremny Ural", will continue to operate, but at a reduced capacity.
In 2025, production will already be reduced by 35% — to 35,000 tons compared to 53,400 tons the previous year. According to Rusal, the domestic market is estimated at approximately 45,000 tons per year. At the same time, the share of imported supplies is rapidly growing.
The company has notified the government of the Irkutsk Region and the administration of Shelekhov about the upcoming suspension, hoping to jointly develop solutions to reduce social risks. The plant is one of the region's major employers, and its closure could affect hundreds of jobs.
According to Elena Lazko, managing partner at "S+Consulting", the key reason for the crisis is dumping from China, which has collapsed global silicon prices. The fall has been particularly pronounced in countries without protective duties, including the European Union and the Eurasian Economic Union.
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