Tokuyama's Vietnam Polysilicon Plant Targets Solar Cost Reduction

Tokuyama’s new polysilicon facility in Vietnam could help scale solar panel production there and beyond.

Tokuyama, a Japanese chemical producer, opened a polysilicon manufacturing facility in Ho Chi Minh City’s Phu My 3 Special Industrial Park. The plant, with an annual production capacity of 4,995 metric tons of polycrystalline silicon (per local press), represents Vietnam’s first facility for semiconductor-grade polysilicon. The project cost 580 billion Vietnamese dong ($22.2 million).

This facility directly supports solar panel manufacturing by expanding Vietnam’s semiconductor supply chain. Polysilicon is the foundational material for solar panels, so increased local production could reduce costs for solar panel assembly in the region. The scale—4,995 metric tons annually—positions this as a modest but significant step toward regional solar manufacturing capacity.

For Vietnam and neighboring economies, this could gradually lower the cost of solar panels by reducing reliance on imported polysilicon. As solar panel production becomes cheaper, more households and businesses could access affordable solar energy, advancing energy access for basic needs.

What to watch: Tokuyama’s official confirmation of production capacity and whether this facility integrates with existing solar manufacturing in Vietnam. The local press figure for capacity remains unverified by Tokuyama itself.

Source: pv magazine