Faced with the US policy of imposing tariffs, Chinese silicone product companies need to adopt a market diversification strategy. Firstly, companies can reduce their dependence on the US market by exploring new markets. For example, expanding into secondary markets such as Europe and Southeast Asia, or developing the domestic market.
Secondly, enterprises can enhance the added value of their products by optimizing their product structure. For example, developing high-end silicone products to meet the needs of different markets. In addition, companies can also negotiate with customers to jointly share the cost of tariffs. Mr. Luo, the head of a silicone products foreign trade enterprise in Guangdong, said that if the US raises tariffs to 20% and customers demand to share 10% of the cost, half of their ordinary silicone product lines will face the risk of production stoppage.