This week's Silicone Market is in hot water. Yesterday, the metal silicon market continued its downward trend, with a daily drop of 250 yuan / ton. At present, the quotation of chemical grade metal silicon 421# Huangpu port is 23800-24500 yuan / ton. The DMC quotation of some monomer factories fell continuously, with a sharp drop of 9500 yuan / ton compared with the highest 39500 yuan. Today, the quotation remained stable at 30000 yuan! The surface quotation of other mainstream monomer factories is also temporarily stable or maintained in the state of no quotation. However, in order to promote large-scale transactions, there is a phenomenon of falling below 30000 in private negotiation. However, after a strong stimulus this week, some downstream companies have prepared goods in an appropriate amount, and the sharp decline atmosphere next week may be alleviated.


Vapor phase white carbon black: the market fluctuation of vapor phase white carbon black is not large this week, and there is still some support on the cost side. The mainstream quotation of 200 is 36000-42000 yuan / ton, and the price is still strong. At present, fumed silica enterprises mainly produce pre orders, and there is no pressure on inventory. Some areas are controlled by the epidemic, and the delivery is delayed. In the short term, the trading of fumed silica market is flat and the price runs sideways.


Precipitated white carbon black: precipitated white carbon black operated steadily this week, sulfuric acid at the raw material end continued to rise, while soda ash weakened. Due to the sufficient preparation of precipitated white carbon black by silicone rubber enterprises, the demand for high price procurement in the near future is general. The profit space of precipitated silica is limited, so there is little room for price adjustment in the near future.


On the demand side, affected by the sharp decline of the silicone market, silicone rubber enterprises are also facing loss shipments. Therefore, the recent production is slightly negative, and the demand for white carbon black is reduced. In particular, rubber mixing enterprises, in the increasingly fierce bidding atmosphere, the profits are constantly compressed. In order to reduce the cost, it is expected that the subsequent price comparison sentiment for white carbon black will become increasingly strong. On the whole, silica is dragged down by the silicone market and the demand is general.


With the entry of a large number of enterprises that do not have the intention of bottom reading this week, if there is a continuous decline in DMC, it will be eliminated as a whole. However, will there be another big rebound after the sharp decline as in the previous two years? Xiaobian believes that from the beginning of this year, this wave of closed prices will rise and then plummet, and 2022 may become a new "watershed" in the supply and demand pattern. With the continuous release of monomer production capacity, it is difficult for terminal demand to keep up with the pace of industrial chain expansion. In addition, due to the recent epidemic, demand has been further suppressed. Even if it will rebound after the sharp decline, it is full of uncertainty how long it can last, Therefore, some goods can be prepared at a low price, but they cannot be purchased in large quantities. There are still some risks in hoarding goods rashly.