Current situation and development trend of silicone oil market In recent years, the silicone oil market has shown a rapid development trend. China's share of global silicone oil production capacity continues to rise, driving rapid development of the silicone oil industry with significant increases in both production capacity and output. Especially, the production capacity of modified silicone oils such as vinyl silicone oil, amino silicone oil, block silicone oil, and hydroxyl silicone oil has grown rapidly, demonstrating China's significant improvement in silicone oil production level.

However, currently domestic domestic enterprises' products are mostly concentrated in the mid to low end, such as conventional methyl silicone oil and hydrogen containing silicone oil. These products have formed a close symbiotic relationship with individual factories in recent years, and their market share has gradually shifted towards upstream enterprises. However, due to the overall downturn in the silicone industry in 2023, prices of silicone products have generally declined, and some individual companies have chosen to reduce the proportion of silicone oil products and directly sell DMC.

At the same time, both domestic and international markets are about to enter the traditional stocking season, and the subsequent order volume is expected to increase. Silicone oil, as one of the four major deep processed products of organosilicon, has a wide range of applications. It can not only be used as a special material in aviation, cutting-edge technology, and military technology departments, but also expanded to various sectors of the national economy such as construction, electronics and electrical, textile, and automotive.

The competitive landscape of the silicone oil market is also constantly changing. Many domestic and foreign enterprises are increasing their R&D investment to improve product quality and technological level. At the same time, local Chinese enterprises are constantly strengthening technological innovation and market expansion, striving to improve product quality and market competitiveness.