In recent years, organic silicon materials have been widely used in fields such as construction, electronics, healthcare, and new energy due to their excellent high temperature resistance, flexibility, and environmental characteristics. According to the latest market research report, the global silicone market size has exceeded 20 billion US dollars in 2023, and is expected to continue expanding at a compound annual growth rate of 6.5% until 2030. As the world's largest producer and consumer of organic silicon, China is leading the industry's development through technological innovation and green transformation.
1、 Strong market demand and diversified application fields
Silicone is a type of polymer material with Si-O-Si as the main chain, which combines inorganic and organic properties and is widely used in:
Construction industry: sealants and waterproof coatings (accounting for 30% of global demand);
Electronic appliances: chip packaging, thermal conductive materials (benefiting from the development of 5G and AI);
New energy: photovoltaic module sealing, lithium battery adhesive (demand increasing by 15% annually);
Medical health: medical catheters, plastic fillers (high value-added fields).
According to SAGSI (Silicon Industry Green Development Alliance) data, the production capacity of organic silicon monomers in China will reach 5 million tons in 2023, accounting for over 60% of the global total production capacity. The export volume will increase by 12% year-on-year, mainly flowing to markets such as Europe and Southeast Asia.
2、 Technological innovation drives industrial upgrading
In response to environmental regulations and high-end market demand, the industry's technological development presents three major trends:
Green process innovation:
Leading enterprises such as Hesheng Silicon Industry and Blue Star Group are accelerating the layout of "direct method" monomer synthesis technology to reduce energy consumption and by-product emissions;
The EU REACH regulation promotes the research and development of solvent-free silicone products.
Localization of high-end products:
Chinese companies are breaking through technological barriers in the field of specialty organosilicon (such as electronic grade silicone oil and medical silicone rubber) and gradually replacing imported products.
Circular economy application:
The technology of recycling silicon waste to prepare regenerated organosilicon (such as the closed-loop recycling project of Eken organosilicon) has become a hot investment topic.
3、 Environmental policies and challenges coexist
Despite the broad market prospects, the industry still faces severe challenges:
Fluctuations in raw material prices:
Metal silicon (the main raw material) is affected by energy costs, with a price fluctuation of 40% in 2023, squeezing corporate profits.
International competition intensifies:
European and American companies (such as Dow and Wacker Chemicals) are seizing the high-end market through patent layout, and Chinese manufacturers need to strengthen their research and development investment.
Carbon reduction pressure:
During the production process of organosilicon, approximately 2 tons of CO ₂ are emitted per ton of monomer, which may result in increased export costs due to EU carbon tariffs (CBAM).
4、 Future Outlook: Green and Intelligent Mainline
Industry experts predict that in the future, the organic silicon industry will deepen its development around two major directions:
Low carbon transformation:
The demand for photovoltaic grade organic silicon materials has surged, and it is expected that the global market size will exceed 5 billion US dollars by 2025;
Biobased organosilicon (using plant derivatives as raw materials) has entered the experimental stage.
Digital empowerment:
Artificial intelligence optimization of production processes (such as the intelligent control system of Jiangxi Xinghuo Organic Silicon Factory reducing energy consumption by 20%);
B2B platforms such as CheMondis promote efficient integration of global supply chains.
Conclusion:
Under the global carbon neutrality goal, opportunities and challenges coexist in the silicone industry. Chinese enterprises need to continuously improve their technological barriers, lay out high value-added products, and strengthen international cooperation to cope with the increasingly complex market environment.