Charlie Cao: Yeah, they are doing the utilization for Tier 2, Tier 3. They are — lower their utilization rate.
Unidentified Analyst: So it is reasonable to think that your ASPs are going to be much higher than the spot market prices because you are selling into the utility market which is more contract driven and a lot of the spot prices that Tier 3 companies are selling into really are fire sales.
Charlie Cao: It’s fair to say that, but different companies have different mix to different countries and different mix to the DG-based utilities and different product mix. So I think for Jinko, we are confident and we are combined together. Our module price is relatively higher than the market price. It’s not market price, it’s small price you see, you saw from the public website.
Unidentified Analyst: Charlie, can you also talk about what was the level of depreciation in the third quarter and the EBITDA for the third quarter?
Charlie Cao: Actually, we have disclosed the EBITDA. So including the details breakdown, and you can look at the [Technical Difficulty] and we have detailed numbers, it’s roughly $600 million. You can look at details including the calculation.
Unidentified Analyst: I see, okay, sorry, I have not had a chance to look at that. Can you also talk about what percentage of the market, not Jinko, but the market this year will be TOPCon and what the percentage will be next year in terms of how much TOPCon will be produced by the other companies?
Charlie Cao: This is the first year for N-type TOPCon to penetrate the market. And we think that the overall market size is 20%, 25% this year. We deliver 60%. And next year, it’s possible N-type will achieve 60%, 70%. We are able to achieve, I think, over 85%.
Unidentified Analyst: So if the market this year is over 400 gigawatts, you’re saying that TOPCon this year is over 100 gigawatts?
Charlie Cao: Let me take it as the last follow up. So roughly we estimate the total industry output, the TOPCon in this year will be somewhere around 100 to 110 gigawatts. And so across which, Jinko will contribute around 70 gigawatt-ish. So next year the number definitely will be more than doubled for the total industries, we’re expecting somewhere around 400 gigawatts. But definitely Jinko will take a main part of it, but definitely not as big as this year.
Unidentified Analyst: Right. Okay. Okay. And finally…
Charlie Cao: Thank you.
Unidentified Analyst: Finally, one last question on the interest-bearing debt. You made a point that the interest-bearing debt came down in the third quarter. Is that something that we should expect will continue in Q4 and Q1?
Pan Li: Yeah, we are gradually decreasing the debt because our earnings increased gradually. Yeah.
Charlie Cao: The operating cash flow for Asia company we generated, I think [indiscernible] this year. For the first nine months, it’s around RMB11 billion operating cash flows. That’s significant improvement. So for the leverage, the total debts, we’re expecting to continue to, let’s say, decrease several steps.
Unidentified Analyst: Great, thank you and congratulations again.
Operator: [Operator Instructions] Our next question today will come from Alan Lau of Jefferies. Please go ahead.
Alan Lau: Thank you. So first of all, congratulations to the company and the very impressive results in 3Q and despite other peers actually having declining profits quarter-over-quarter. So some of the questions on the details as to whether how is the US shipment situation, so how much has the company shipped to the US and what is the view on 4Q shipment to the US and has the custom inspection improved et cetera? Thanks.
Charlie Cao: Yeah, we just talked about the earning contribution from the US for Jinko in third quarter. And we have smooth [indiscernible] let’s say, with CBP starting from July. And Q4, we deliver roughly 1.3, 1.4 gigawatts and we are expecting stable shipments Q4 versus Q3. And because a lot of inventory was detained in the first half year, so we shift a relatively high volume in third quarter. Fourth quarter, our production returned to normal standards and we shipped around similar numbers. But contributions — earning contributions quarter by quarter improved. Third quarter, the contribution is not so big because of the inventory was produced six or nine months ago. The cost, storage cost, production cost is relatively higher. But next year we are expecting with some earnings from US shipments.
