Recently, the silicone market has experienced significant fluctuations, with DMC prices continuing to decline last week. The price of metallurgical silicon also fell, while methanol prices remained largely stable, leading to a reduction in the cost of self-produced methyl chloride. Multiple monomer manufacturers have lowered their quotes, and intense competition among companies persists, with prices reaching new lows. However, further downward movement is limited.

Market Price Dynamics

• DMC Prices: The current mainstream price range is 11,300-12,000 RMB/ton, with prices negotiated on a deal-by-deal basis, reflecting a decline from previous levels.
• 107 Adhesive, Gum Rubber, Silicone Oil Prices: Affected by the decline in DMC prices, related product prices have followed suit.
• Mixed Rubber: Local companies have also adjusted their quotes downward, adding to the overall downward pressure in the market.

Market Analysis

Although the downward space for DMC prices is limited, and the willingness of some companies to further reduce prices has weakened, intense competition in the market means that silicone product prices are expected to remain weakly stable in the short term. The fierce competition has driven prices lower, but further declines are unlikely, with the market gradually stabilizing.

Future Outlook

Industry experts predict that as raw material costs stabilize, silicone market prices will remain weakly stable in the short term. Despite the intense competition, the likelihood of further price declines is minimal, and the market will gradually enter an adjustment phase.

Conclusion

Last week, DMC prices in the silicone market continued to decline, with intense competition driving transaction prices to new lows. Although the downward space for raw material prices is limited, competition among companies means that prices are expected to remain weakly stable in the short term. In the future, as the market adjusts, prices are likely to stabilize in a weakly stable manner.