January 6th News: With the market seeing a surge in prices in December, competition is becoming increasingly fierce. Some individual enterprises still have a certain distance from the annual expected sales target. For domestic enterprises, the share of foreign-funded enterprises continues to decline, and the development level of independent brands and alternative technologies has become the key to victory or defeat. In the individual field, more "expansion" efforts have been made, and the threshold for the finals has also been raised. In the blink of an eye, 2024 has passed and a brand new 2025 has arrived. Standing at this node of bidding farewell to the old and welcoming the new, let's review and take stock of the price changes in 2024 together! Overall, on the individual end, DMC's production capacity has continued to scale up from the initial 14000+yuan/ton to the later 16000+yuan/ton, from production reduction to expansion. Currently, prices have returned to the starting point of 13000+yuan/ton, while other individual end products have fallen back to the starting point.
Rising by 33%! In the cold weather, niche organic silicon products are once again releasing their energy. Whether it is manufacturers or traders, niche products are filled with a happy atmosphere of "price increase". It is reported that recently, the price of vinyl double head suddenly rose sharply, with an increase of more than 20000 yuan/ton, from the lowest point of 49500 yuan/ton this year to 73000-78000 yuan/ton, becoming the new "price increase king" of the industry for the year. However, for the organic silicon industry chain, niche products are not blindly focused on low prices. It is one of the few tracks that requires upgrading. Once commonly known as the "seed of liquid silicone", the vinyl double head is like this. When the prices of products in many industries have dropped significantly, the price of vinyl double heads has started to rise rapidly. Why did ethylene based double heads start to rise against the trend in an era of widespread price drops in the industry? Yang, the main production enterprise, stated that the ethylene based double head is not a price increase, but an improvement in high quality!
This year, there have been numerous new stories about organic silicon. On the one hand, with the launch of the popular organic silicon leather series, the huge demand has opened up new imaginative space; Recently, a domestic single enterprise giant has been intensifying its AII in downstream, launching a competition for downstream product lines and increasing capital expenditures. Against the backdrop of downstream profitability, the integration of individual enterprise industrial chains is fully underway. Looking ahead to 2025, the full terminal application of organic silicon leather is expected to explode. In addition, with the readiness of basic technological capabilities, the application of organic silicon leather may usher in a shining moment, among which home decoration and automobiles may be the most mainstream forms of organic silicon leather application. At the same time, more innovative application fields are expected to enter the era of "group collaboration". After reviewing 2024, let's now look ahead to 2025. Based on a comprehensive review of the views of various industry experts, bosses, and technical engineers, the following trends are expected to emerge in 2025 as a new track takes off:
Firstly, organic silicone leather may have a full terminal explosion by 2025. The Chief Product Officer of Dow has stated that 2025 will be the year when silicone leather finally enters the mainstream! Industry expert Mr. Wu also believes that 2025 may enter the first year of full terminal explosion. In December 2021, Dow's world's first silicone leather made its debut and went viral. After three years of marketization, leading domestic manufacturers such as Serkai, Xingfa, Xin'an, Zheng'an, and Silicon Treasure are also competing to launch a series of silicone leather products. Serkai's 100% silicone raw material coating technology has become a leading global brand of silicone leather.
Secondly, the application of silicone leather may soon usher in a star studded moment, and it is about to reach its explosive point. Home decoration and automobiles may be the most mainstream forms of application. In 2024, with the support of the "trade in" policy, the annual production and sales of new energy vehicles in China have exceeded 10 million units for the first time. The penetration rate of new energy passenger vehicles has exceeded 50% for several consecutive months, and the market has been steadily increasing. The penetration rate of silicone leather in automotive interiors is expected to increase to 30%.