Recently, the silicone market has encountered new challenges and opportunities. With the implementation of production reduction plans by most monomer factories, the price of DMC (dimethyl cyclic siloxane) is showing an upward trend. According to market data, yesterday's DMC quotation has stabilized in the range of 13400-13800 yuan/ton, but industry insiders generally believe that the expectation of price increases is continuing to rise.
Behind this price increase trend is the production reduction and price protection strategy adopted by individual factories in the face of market competition and cost pressures. By reducing production, individual factories aim to increase product added value, thereby driving up prices. Middle and downstream enterprises have different reactions to this, with some actively stocking up to cope with potential price fluctuations, while others choose to wait and see due to sufficient inventory.

On the demand side, with the arrival of spring, downstream industries are gradually recovering, and the demand for silicone products continues to grow. The gradual recovery of demand for organic silicon products in terminal markets such as silicon products, construction, and automobiles has provided strong support for market price increases. However, the uncertainty on the supply side still poses certain risks to the market. Some large factories in the north are operating at a relatively high level, and the new silicon furnace production capacity in Inner Mongolia and other places is about to be released, which may have an impact on the price increase trend.
Faced with a market environment that combines challenges and opportunities, organic silicon enterprises need to closely monitor market trends and flexibly adjust production strategies. At the same time, we will strengthen technological innovation and product research and development, enhance product added value and market competitiveness, in order to cope with potential market fluctuations.