On January 7th, it was reported that there has been a wave of price stabilization in the silicone industry recently. On Monday, DMC quotations from major companies remained stable. Since the second half of 2024, many companies such as Hesheng, Xinghuo, Xin'an, Xingfa, and Dongyue have launched a "anti internal competition" trend, attempting to break away from the pricing model of competition. Several business leaders recently stated that they will use innovation as the engine, capture new application scenarios, and embark on a new journey towards high-quality development. As of January 6th, the Luxi hydrolysate website reported a price of 12300 yuan/ton, the mainstream spot price for DMC was 12800-13700 yuan/ton, the mainstream spot price for raw rubber was 14000-14700 yuan/ton, the mainstream spot price for 107 rubber was 13500-14000 yuan/ton, the mainstream spot price for domestic silicone oil was 14800-16500 yuan/ton, and the mainstream spot price for imported silicone oil was 18500-19500 yuan/ton. 421 # metal silicon is reported at 12500-13100 yuan/ton, chloromethane is reported at 2650-2750 yuan/ton, and high hydrogen silicone oil mainstream is reported at 7500-7800 yuan/ton. At present, industry insiders admit that the price of organic silicon has reached a low point before, and now brand pricing has begun. The industry also has cycles, such as the possibility of price increases for gold, silver, silver, and silicon, as well as gold, silver, and silicon.
The German residential solar panel industry is facing "numerous challenges". Previously, the collapse of consumer demand triggered a wave of bankruptcies and layoffs in Europe's largest and most important solar panel market. Many companies that distribute and install rooftop solar panels have gone bankrupt, been acquired, or forced to change their strategies. Despite bankruptcy and excess solar panels causing a significant drop in consumer prices, industry insiders warn that this has dampened investor sentiment and could potentially harm an industry crucial to achieving Europe's ambitious climate goals. The latest data shows that the silicone industry chain has also reached a "new competition point"! Since the beginning of this year, the domestic silicone industry has begun to usher in a turning point. The "low price strategy" pursued in the past year has been gradually revised, and the pricing strategy of quality brands is being increasingly valued by many industries. In the silicone products market, there are also new trends. Brand operators and foundries need to find new strategies beyond the "low price strategy" in order to seize the "new increment". In fact, the competition for cross-border marketing of silicone products has become increasingly fierce.
Against the backdrop of a possible continued trend in "roll prices," silicone foundries will continue to seek profits from the supply chain. Early OEM factories used fast delivery driven digital supply chains as a means to predict demand and control production through "small order quick response", promoting further improvement in supply chain efficiency, which also allowed them to benefit from the early development dividends of silicone OEM factories. Next, to further explore the efficiency of the supply chain, it is not just about individual enterprises fighting alone, but also about "stringing beads into a chain" of enterprises, deepening the advantages of industrial belt aggregation, and enabling the domestic silicone industry to gain global competitiveness through structural price differences. For silicone foundries, it is also time to make strategic adjustments, shifting from "big and comprehensive" to further shaping the differentiated positioning of independent brands. The global silicone market contains enormous opportunities, but the situation is also more complex than the domestic market. If contract manufacturers want to continue to stay on the table, they need to further recognize their advantages. Behind the new blue ocean, there are still many "mountains" to climb. Those who can reach the end must learn to evolve themselves.
Another silicone company has been established in Vietnam with a production capacity of 6000 tons and an investment of over 80 million RMB! According to Global Organosilicon Network, on December 30, 2024, the groundbreaking ceremony for the Viertong (Vietnam) Industrial Park in Guiwu II Industrial Zone, North Ninh Province, Vietnam was grandly held, marking an important step for Viertong Technology Company's overseas expansion and injecting new vitality into regional industrial development. Geographical location: Viertong (Vietnam) Industrial Park is located in Guiwu II Industrial Zone, Bac Ninh Province, Vietnam, covering an area of 13678 square meters with a building area of 20000 square meters. Capacity planning: The annual capacity planning is up to 6000 tons. Investment scale: The first phase of investment is 81 million RMB, expected to be completed on August 20, 2025. Product Line: Focusing on the field of adhesives, our products include functional organic silicon materials such as silicone gel, conductive, heat-conducting, and shielding materials, polyurethane hot melt adhesive, electronic adhesive, UV adhesive, etc., to meet the needs of overseas electronic products, new energy and other industries.
Stellantis Group, the world's fourth largest automaker, saw a 37% decrease in car production in Italy in 2024. The union stated that Stellantis produced 475090 cars in Italy in 2024, down from 751384 in 2023. Especially the production of sedans decreased by 46%, reaching the lowest level since 1956, while the production of new commercial vehicles decreased by 17%. Stellantis operates five automobile factories and one commercial vehicle factory in Italy. The Mirafiori factory of the group located in Turin saw a 70% decrease in production last year. Only the Maserati factory located in Modena, the center of Italy's "Automobile Valley", performed worse, with a decline of 79%.
The shift in global trade is prompting shipowners to shift from ordering larger vessels to ordering smaller ones. The attack on Red Sea ships has also affected the demand for the largest container ships. According to Braemar, a shipbuilding brokerage company, only 6 container ships capable of carrying over 17000 20 foot containers (commonly known as TEUs in the industry) will be delivered by 2025, compared to 17 ships delivered in 2020. At the same time, 83 medium-sized vessels capable of carrying 12000 to 16999 TEUs will be delivered by 2025, almost five times the number from five years ago. Ships capable of carrying 16000 TEUs will become a popular mainstay for shipping companies.