The Kremniy factory in Shelekhov is ceasing operations due to reduced need and inexpensive foreign goods.
The Russian manufacturing base is experiencing continued contraction: the foremost silicon manufacturer, the Kremniy factory in Shelekhov, held by Rusal, has declared a total cessation of operations starting January 1, 2026.
As per the organization, there is no longer a requirement in the market for Russian silicon. Foreign-made items are markedly more affordable, and deliveries from overseas keep expanding. Rusal mentioned that there is basically no call for locally produced silicon in the international marketplace either.
The organization has already informed the Irkutsk regional government about the impending cessation. The organization anticipates that regional administrators will assist in alleviating the “societal repercussions” of the shutdown of the industry’s top manufacturer.
Simultaneously, Rusal’s secondary factory, Kremniy Ural, will persist in functioning, albeit at diminished output levels. This will enable it to partly sustain manufacturing and keep some of its workforce.
The organization had previously indicated that it intended to curtail silicon output by 35%, down to 35,000 tons in 2025, mainly resulting from the competitive stress from China. In 2024, the number was at 53,400 tons.
The circumstance emphasizes the intensifying downturn in the sphere: Russian firms find it impossible to vie with low-priced imports, while internal requirements keep diminishing.
