The sales share of Chinese cars in Europe is expected to exceed 10% by 2026. In Norway, where the proportion of pure electric vehicles (EVs) is high, it has reached 14%, and in Italy and Spain it has also reached 9%. The EU is becoming increasingly wary of the expansion of Chinese car exports, imposing tariffs on pure electric vehicles produced in China, and planning to use regional production and procurement as conditions for issuing subsidies. Chinese automobile companies have successively opened European bases for procurement and production. Chery Automobile established a European integrated base in Barcelona, Spain in April, responsible for local business operations and supply chain coordination. Zhejiang Zero Run Technology has started assembling the SUV "B10" at the factory of European car company Strantis located in Spain.
Organosilicon Market Weekly Report (June 15-21, 2026): The tug of war between rising prices and sluggish demand continues, with structural highlights on the application side emerging
Last week, the organic silicon market continued its upward trend, but downstream demand showed weakness, and the overall trading atmosphere was weak, further exacerbating the supply-demand tug of war. Although the collaborative production reduction in the industry has entered the substantive implementation stage, with some individual plant units undergoing shutdown maintenance or load reduction operation, some enterprises have resumed operation, and the overall operating rate of the industry remains at a relatively high level of 65.7%. The expectation of supply contraction continues to hedge against weak terminal consumption, and the market presents a stalemate pattern of "stabilizing prices but difficult to increase volume".
Price trend: Mainstream offers remain stable, but actual transaction focus is under pressure
As of June 21st, the mainstream offers for various products are as follows: DMC mainstream offers remain at 14700-15100 yuan/ton; 107 glue water purification report: 14800-15000 yuan/ton; The mainstream price for raw rubber is 15500-15800 yuan/ton. The mainstream price for long-term orders in the silicone oil field is 16200-16800 yuan/ton, while imported brands such as Dow, Shinetsu, and Wacker sell goods for 19500-20500 yuan/ton.
Although the manufacturer's quotation is generally stable, the downstream acceptance is limited. Some companies are concerned about the risk of inventory accumulation after the holiday, and high inventory manufacturers have a strong desire to promote orders and reduce inventory before the holiday, resulting in a shift in the actual transaction price center of gravity. Especially for core large enterprises, there is a strong sentiment of price suppression, with a range of 700 yuan, and the bearish atmosphere has heated up.
Supply and demand pattern: slightly loose supply, insufficient demand support
On the supply side, although some enterprises have stopped their equipment for maintenance, some have resumed operation. The overall operating rate of the industry is still at a relatively high level of 65.7%, and the overall supply and demand pattern is slightly loose. The current market is showing a trend of stabilizing prices and reducing inventory, and manufacturers' quotations are generally stable.
On the demand side, due to the slow recovery of traditional terminal consumption, construction, electronics and other fields, the incremental orders of mid to downstream enterprises are limited, and the speed of inventory digestion is slow. The weak terminal consumption has led to poor shipments for mid to downstream enterprises, limited procurement efforts, and the maintenance of a batch by batch and small order demand model for upstream procurement. Downstream silicone rubber and rubber compound customers continue to mainly stock up on demand, with some continuing to wait and see. There is a lack of willingness to stock up on large orders, and the market stability is weak.
Cost side: Weakened cost support and insufficient motivation to raise prices
The weak and stable trend of industrial silicon in the cost department, coupled with the weak fluctuations in the methanol market (with a weekly decline of 15%), further exacerbates the market's wait-and-see sentiment. Recently, the prices of upstream raw materials have fluctuated, and the support has weakened compared to the previous period. Individual manufacturers lack the motivation to raise prices; Due to the strong resistance of downstream suppliers to high priced goods, there is a greater resistance to stabilizing prices in the market.