Moen

Moen from Goldman Sachs asked Daqo New Energy to elaborate on its M&A targets, inquiring about preferred capacity levels for future acquisitions. He also sought to understand how management defines the success of the anti-involution initiative in the polysilicon sector, specifically asking what milestones indicate a complete and successful anti-involution, beyond just price increases.

Answer

Deputy CEO Anita Xu stated that Daqo is comfortable with its current position, given market dynamics and underutilized capacity across the industry. She indicated that while there's no specific target for market share, future acquisitions would be considered if aligned with the national anti-involution initiative. Ms. Xu defined the success of anti-involution as extending over several years, involving the exit of outdated and smaller players, and the restoration of prices to a healthier, profitable level to support the overall renewable energy goal. She confirmed that the ultimate aim is to take smaller, outdated players offline.