With the end of the Spring Festival holiday, the silicone market has ushered in the first wave of price increases at the beginning of the year. This trend is not only reflected in the slight increase in the price of the main raw material dimethyl dichlorosilane (DMC), but also reflects that the entire industry is gradually showing new vitality and vigor after a period of low-level adjustment.
DMC prices rise, industry confidence strengthens
As an important part of the organic silicon industry chain, the price changes of DMC directly affect the cost and market pricing of downstream products. Recently, due to multiple factors such as tightened raw material supply, reduced production and price protection strategies by individual factories, and the recovery of demand from downstream enterprises after resuming work, DMC market prices have seen a slight increase. As of press time, the transaction price of DMC has risen to the range of 12600-1290 yuan/ton, and some manufacturers even plan to push the price up to 13000 yuan/ton. This change not only brings direct profit improvement to individual factories, but also enhances the confidence of the entire industry in future market trends.

The effectiveness of the strategy of reducing production and ensuring price has begun to show
Faced with the market downturn in the past period, many individual factories have adopted a strategy of reducing production to maintain price stability by reducing market supply. This measure has achieved initial results against the backdrop of gradually recovering market demand. On the one hand, reducing production has reduced the competitive pressure in the market, providing room for price increases; On the other hand, through the price protection strategy, individual factories are able to maintain a relatively stable profit margin, providing financial support for subsequent production and research and development.
Downstream demand rebounds, market atmosphere improves
With the comprehensive resumption of work by downstream enterprises, the demand for organic silicon products is also showing a trend of recovery. Especially in the terminal application fields such as construction, automotive, and electronics, the market demand is gradually recovering, bringing new growth points to the organic silicon industry. In addition, with the continuous advancement of technology and the continuous expansion of the market, emerging application fields such as organic silicon leather and solid to liquid forming technology have also brought new development opportunities to the industry. The rapid development of these emerging fields not only increases the added value of silicone products, but also further promotes the transformation and upgrading of the industry.
Future outlook: Opportunities and challenges coexist
Despite the current trend of price increase in the silicone market, the industry still faces many challenges. On the one hand, external factors such as the China US trade war have brought uncertainty to the market; On the other hand, there is fierce competition within the industry, and companies need to continuously improve their competitiveness to cope with market changes. Therefore, in the future, the organic silicon industry needs to continue to increase research and development investment, improve product quality and technological level; At the same time, it is also necessary to strengthen market analysis and forecasting capabilities in order to better grasp market opportunities and respond to challenges.
In summary, the first increase of the organic silicon market in the new year not only reflects positive changes within the industry, but also lays a good foundation for future development. However, facing the complex and ever-changing market environment and fierce industry competition, enterprises need to maintain a clear mind, constantly seek innovation and development opportunities, in order to achieve sustainable development.