In early September 2026, the domestic silica market remains generally stable. The industry has stepped away from drastic price swings driven by raw material volatility, with narrower price fluctuations and entering a stable phase of structural differentiation. The benchmark price of rubber‑grade precipitated silica stays at 6,100 RMB per ton, while conventional industrial‑grade products are traded at low levels. Negotiations between upstream and downstream parties have become rational, and there is no strong momentum for sharp price rises or falls in the short term. Prices of basic raw materials such as water glass and sulfuric acid have stabilized recently, weakening the cost‑driven upward pressure on prices. Enterprises are relying more on product portfolio optimization and process control to secure profits, ending the cycle of profit growth purely from raw material price hikes.

　　On the supply side, major domestic silica producers keep stable operating rates. The market is well‑supplied with standard precipitated silica, while small‑ and medium‑sized manufacturers still face inventory pressure and flexible pricing in the low‑end segment. In contrast, high‑end modified silica for new‑energy tires, photovoltaic sealants and electronic materials is in relatively tight supply. Leading manufacturers prioritize orders of high‑value‑added grades with longer delivery cycles, and premium products maintain steady profit margins. Driven by stricter environmental and carbon‑neutrality policies, high‑energy‑consumption and outdated production lines of small manufacturers are operating at limited capacity. Outdated capacity is phased out gradually, and industrial resources are concentrating on leading enterprises with low‑carbon production and comprehensive R&D capabilities. According to the latest statistics from industry associations, China’s total silica capacity has exceeded 3.8 million tons per year, of which precipitated silica accounts for over 85%. Fumed silica capacity is concentrated among a handful of top producers. The overall capacity utilization rate stands between 65% and 70%, reflecting the persistent imbalance of overcapacity in low‑end products and insufficient supply of high‑end grades.

　　Downstream demand shows a clear two‑tier pattern. The traditional tire sector adopts a just‑in‑time purchasing strategy with no large‑scale restocking willingness. Nevertheless, the implementation of green tire policies boosts the penetration of high‑dispersibility silica in formulations. Tires for new‑energy vehicles impose stricter quality requirements on silica, sustaining solid orders for high‑performance grades. Demand remains steady for silicone sealants, architectural coatings and anti‑corrosion materials. Emerging sectors including photovoltaics and energy storage generate incremental demand for high‑purity, high‑reinforcement specialty silica. By comparison, ordinary filler‑grade silica faces fierce competition, sluggish demand and long‑term price pressure with thin profit margins. In personal‑care fields such as toothpaste, food additives and pharmaceutical excipients, high‑purity silica meets high certification barriers and holds huge import‑substitution potential. A small number of domestic manufacturers with FDA and EFSA certifications enjoy full order books and new profit sources for the industry.

　　In terms of export trade, the global supply chain is undergoing restructuring. Overseas buyers increasingly require low‑carbon certification and carbon footprint compliance, strengthening the international competitiveness of domestic high‑end silica with eco‑friendly production qualifications. Conventional general‑purpose products face price competition from overseas suppliers with limited export profits. Premium modified grades achieve gradual import substitution thanks to stable quality, and overseas orders become a key driver for revenue growth of leading enterprises. Statistics indicate that China’s silica export volume rose roughly 12% year‑on‑year in the first half of 2026. High‑dispersibility tire‑grade and fumed silica outpace the industry average export growth rate, with Southeast Asia, Europe and North America as major destinations. Meanwhile, expanding local silica capacity in Southeast Asia will intensify competition for mid‑to‑low‑end products in the future. Domestic manufacturers must accelerate the shift toward high‑value‑added products to retain overseas market share.

　　Technological innovation focuses on fumed silica, hydrophobic modified silica and nano‑sized high‑dispersibility silica. Leading companies increase investment in cutting‑edge technologies such as in‑situ modification with silane coupling agents, sol‑gel preparation and continuous fumed synthesis. Key indicators including specific surface area, pore‑size distribution and surface activity keep approaching international advanced standards. In the new‑energy battery sector, silica applied as separator coating material and electrolyte additives requires ultra‑high purity and uniform particle‑size distribution. This field still relies heavily on imported products with broad domestic substitution space, becoming a strategic priority for top producers. In addition, green production routes using renewable raw materials such as rice‑husk ash and silica powder are being industrialized rapidly, which may fundamentally reshape the raw‑material structure and carbon emission profile of the sector.

　　The competition logic of the industry has transformed completely. Low‑end segments compete on cost control, while high‑end markets compete on modification formulation, batch consistency and low‑carbon compliance. Differentiated development serves as the core long‑term survival strategy for manufacturers. As downstream clients raise standards for supply‑chain stability and product consistency, enterprises with complete industrial chains, self‑owned silicon‑source resources and strict quality‑control systems gain stronger bargaining power. Small manufacturers that simply process purchased raw materials will face shrinking operating space. M&A and consolidation activities are expected to heat up, and capacity of financially‑strained small plants may be acquired by market leaders, further lifting industrial concentration within the next two to three years.

　　Market outlook: the domestic silica market will probably remain stable with minor fluctuations in the short run. Prices of standard grades stay under pressure while high‑end modified products maintain firm quotations. Driven by the traditional restocking cycle of downstream manufacturing in the fourth quarter, demand for high‑dispersibility tire‑grade and silicone‑rubber‑specific silica is expected to pick up, widening profit gaps across different product lines. In the medium‑to‑long term, rising penetration of new‑energy vehicles, growing photovoltaic installation and accelerated domestic substitution in high‑end manufacturing will deliver sustained structural growth drivers for the silica industry. However, overcapacity will remain a long‑term challenge, and manufacturers must pursue technological upgrading and product differentiation to stay competitive. Future growth opportunities no longer depend on capacity expansion, but on high‑end customization and green transformation. Enterprises mastering modification technologies and low‑carbon processes will continue to secure solid profit advantages.