As the Spring Festival approaches, downstream enterprises in the organic silicon industry chain are gradually entering a vacation mode. Mr. Li, a prominent figure in the Guangdong industry, revealed that most downstream companies' businesses were nearing completion last week and are expected to take a break from January 18th to 21st. In terms of price, as of January 19th, the spot price range for DMC is 12800-13700 yuan/ton, the mainstream price range for raw rubber is 14300-14700 yuan/ton, the price range for 107 rubber is 14000-14200 yuan/ton, and the price range for domestic silicone oil is 14800-16500 yuan/ton.
On the supply side, top integrated individual enterprises maintain high operating rates due to profit attraction, while small and medium-sized individual factories face a tight supply of raw materials. Looking ahead, the humanoid robot market is expected to enter its first year of commercialization in 2024, and the global market size is expected to grow significantly. At the same time, AI adult toys, as an emerging AI application scenario, will also experience explosive growth, bringing unprecedented development opportunities to the silicone industry chain.
In terms of the operation of individual units, the operating rates of the two major first tier enterprises this week were as high as 80% and 75% respectively. The average operating rate of integrated individual enterprises remained at 65% -70%, while the operating rates of other individual enterprises were between 50% -60%. Despite some individual companies reducing production and controlling output during the Spring Festival, overall supply remains stable.