Competition between two of the leading solar polysilicon producers, Wacker Chemie and OCI, looks set to intensify as the two vie for increased market share in China, according to analysis from EnergyTrend.

EnergyTrend, part of TrendForce, said that a favourable settlement for both companies in a recent anti-dumping ruling by the Chinese government would pit them against each other in the battle for position in China’s huge market.

Germany-based Wacker will avoid duties announced by the Chinese Ministry of Commerce last week on polysilicon imports from the EU as the two parties had previously signed a price agreement.

Meanwhile, Wacker’s Korean rival OCI was handed only a very small tariff of 2.4% in an earlier decision by MOFCOM.

Although Wacker’s price undertaking with MOFCOM has not been disclosed, EnergyTrend speculated that based on analysis of other publicly available information, Wacker’s price would be in the region of US$23.4-25kg. It said OCI’s would be around US$23/kg.

“The competition is now very intense between OCI and Wacker as they are competing over China’s market share. If Wacker’s agreed prices with China do fall within the range mentioned above, they can maintain their high competitiveness in the Chinese market,” says Arthur Hsu, research manager of EnergyTrend.

According to analysis published earlier this year by Bernreuter Research, Wacker increased its market share in China from 25% in 2012 to almost 33% in 2013.

Meanwhile, OCI increased its market share in China from 24% in 2012 to almost 28% in 2013.

At the same time, the two companies’ main rivals Hemlock Semiconductor, REC Silicon and SunEdison saw their collective share of polysilicon imports into China fall from 39% to 28% between 2012 and 2013. These companies were all handed significant levies under MOFCOM’s anti-dumping duties.

In its latest financial results, Wacker said it saw sales in the first quarter of 2014 increase to €262 million, up from €250 millino in the final quarter of 2013, an upward trend that is expected to continue.