Looking ahead to the Chinese silicone market in early 2025, its development will continue the existing trend and face new opportunities and challenges, presenting an overall stable but changing pattern.

At the supply level, as companies that had undergone maintenance gradually resume production and new production capacity is put into use in an orderly manner, market supply is expected to increase steadily. For example, some silicone production projects under construction are expected to enter the trial production stage in early 2025, which will bring new supply increments to the market. However, while expanding production, companies will also pay more attention to product quality and cost control, and improve their competitiveness through technological innovation and refined management. This will stabilize the market supply structure to a certain extent and avoid extreme situations of large oversupply or shortage. .

On the demand side, emerging fields will become an important driving force for the growth of the silicone market. As the new energy vehicle industry continues to expand, the demand for the application of silicone materials in battery packaging, motor insulation, etc. will increase significantly. It is predicted that as the production of new energy vehicles continues to increase, the demand for silicone materials will grow at a rate of more than 30% per year. At the same time, the in-depth development of 5G communication technology has led to broad application prospects of silicone in the fields of heat dissipation, waterproof sealing and other fields of communication base station equipment. The demand for silicone in traditional fields such as construction and textiles will remain relatively stable. With the arrival of the spring construction season, the demand for silicone sealants and other products in the construction industry will gradually pick up, and the demand growth is expected to be between 10% and 15%. % about.

In terms of market competition landscape, domestic silicone companies will face more intense competition. On the one hand, leading companies will further consolidate their market position by leveraging their scale advantages, technological research and development capabilities, and brand influence; on the other hand, small and medium-sized enterprises will seek development space through differentiated product strategies and flexible market operations. For example, some small and medium-sized enterprises that focus on the research and development of special silicone products are expected to make breakthroughs in high-end electronics, medical and other fields and win market share with high value-added products.

In addition, environmental protection policies and fluctuations in raw material prices will continue to be important factors affecting the market. The continuous improvement of environmental protection requirements will prompt companies to increase their environmental protection investment and promote the application and development of green production processes; while the price of raw materials is affected by fluctuations in the global resource market, and its uncertainty will bring variables to the production cost and market price of silicone. On the whole, the Chinese silicone market at the beginning of 2025 has both growth potential and many uncertainties. Enterprises need to plan ahead and respond accurately in order to occupy a favorable position in the market competition.