In 2025, the silicone industry is undergoing unprecedented changes and challenges. With the intensification of competition on the track, the gap between enterprises is gradually widening. How to maintain survival and development in the process of reshaping the track has become a common focus of attention in the industry.
Recently, an internal letter from a certain silicone company revealed the severe situation facing the industry. The senior management pointed out that the trend of extreme cost control and homogenization of product lines has made competition between enterprises increasingly fierce. The market pattern of oversupply has intensified the competitive pressure in the industry. In this context, enterprises need to actively adapt to changes in the track and seek breakthroughs through strategic adjustments and innovation.
Market data shows that at the beginning of the new year, the prices of several niche organic silicon products have shown an upward trend, especially the ethylene based double head series, which is in short supply and rising in price. This provides market opportunities for some enterprises, but at the same time tests their market insight and rapid response capabilities.
However, the pressure on the supply side cannot be ignored. With the reduction of maintenance plans for individual factories and the increase in production, the risk of oversupply in the short term has intensified. In order to accelerate inventory reduction and attract orders, some individual factories may adopt price reduction strategies, which undoubtedly increases the uncertainty of market prices. Enterprises need to reduce costs and improve production efficiency while ensuring product quality to cope with market competition.
In addition, changes in the international political environment have also brought new challenges to the silicone industry. The updated list of "Chinese military related enterprises" by the US Department of Defense has restricted the business of listed companies in the international market. This is undoubtedly a heavy blow for enterprises that rely on the international market. Enterprises need to actively seek international cooperation and diversified market strategies to reduce operational risks.
In summary, the organic silicon industry will face many challenges and opportunities in the process of reshaping the track in 2025. Enterprises need to closely monitor market trends and flexibly adjust their strategies to cope with market changes. At the same time, strengthening technological innovation, improving cost control capabilities, and market insights will be the key for enterprises to maintain a leading position on the track and achieve sustainable development.