(Yicai Global) April 1 -- Global photovoltaic cell giant Tongwei, which expects to have increased its net profit as many as six times in the first quarter from a year ago, intends to spend CNY12 billion (USD1.9 billion) to build another solar cell plant.

The Chinese solar wafer producer and solar park operator will add an annual capacity of 32 gigawatts of solar cells via the project in Sichuan province, the Chengdu-based firm said in a statement yesterday.

Tongwei is a leading global manufacturer of PV cells and polysilicon. Its annual solar cell capacity tallies more than 40 GW and should exceed 55 GW by December, its executives said on the Shanghai Stock Exchange's investor platform early this year.

The firm, which is involved in the whole PV industry supply chain, has been gaining amid the rising raw material prices. In the first quarter, Tongwei predicts to have made from CNY4.9 billion to CNY5.2 billion (up to CNY817.8 million) in net profit, up as much 514 percent from a year ago, due to a larger-than-expected installed capacity increase of PV power stations and rising polysilicon prices. In the 12 months of last year, the firm boosted its net profit twofold.

The above-mentioned project will be built in two stages. The first one should be ready by December 2023 and involve a capacity of 16 GW. The second part will commence according to agreements with the local government.

The new plant will make full use of Tongwei's technologies, as well as its mass production and marketing experience that the firm has accumulated in solar cells over the past years, it added.

Tongwei's stock price [SHA: 600438] climbed 1.5 percent to CNY43.32 (USD6.80) in the afternoon. The shares have jumped almost 30 percent in value over the past 12 months.

Editor: Emmi Laine, Xiao Yi