At the end of 2024, the price of China's organic silicon market showed a complex situation. Affected by the interweaving of multiple factors, the overall price fluctuations were more obvious.

From the supply side, some organic silicon manufacturers faced equipment maintenance and capacity adjustment at the end of the year, resulting in fluctuations in market supply. The temporary production cuts of some large enterprises have caused the total supply of organic silicon products in the market to shrink in the short term, which has provided some support for prices. For example, due to the upgrade and maintenance of core equipment, the output of a well-known organic silicon production giant has decreased by about 20% in the past two months, which has widened the market supply gap and pushed prices up slightly.

On the demand side, the demand changes in downstream industries vary greatly. In winter, the construction industry is affected by the temperature, the construction progress slows down, and the demand for products such as organic silicon sealants has dropped sharply. The demand in some areas has dropped by more than 50%. Driven by the peak season of consumer electronics at the end of the year, the demand for organic silicon materials in the electronic and electrical industry is relatively strong. For example, the demand for the application of organic silicon thermal conductive materials in smart phones, computers and other products continues to grow, which to a certain extent offsets the decline in demand in the construction industry.

In addition, the international market environment has also had an impact on domestic organic silicon prices. The fluctuation of international crude oil prices affects the cost of raw materials for organosilicon production. When crude oil prices rise, the cost of organosilicon production rises, pushing up prices. Changes in the global trade situation, such as adjustments in the trade policies of some countries on organosilicon products, have led to new challenges for my country's organosilicon exports, and the export volume has fluctuated, which in turn affects the balance of supply and demand in the domestic market and the price trend. Overall, by the end of 2024, the price of China's organosilicon market is in dynamic adjustment under the combined effect of multiple factors. Enterprises and related practitioners need to pay close attention to market changes to cope with the risks and opportunities brought about by price fluctuations.