Industry News

Strong sentiment towards high prices in the organic silicon market, difficulty in significantly improving construction

Word：[Big][Middle][Small] 2023/9/14 Viewed：

Since mid September, the organic silicon market has been continuously rising, with small factories in Shandong and a large factory in Zhejiang taking turns to increase their prices as a "wind vane". According to statistics, in the past three days, the DMC of small factories in Shandong has accumulated a price increase of 500 yuan/ton before being closed. Large factories in Zhejiang have not only raised prices in the morning and evening, but also at noon. On September 13th alone, the price was adjusted twice, totaling 1000 yuan/ton. Under frequent operations, the DMC of organic silicon has increased by 1600 yuan/ton compared to September 10th. 107 rubber and raw rubber have both risen by a similar margin, and other monomer factories have mostly started the mode of closing without taking orders. However, the overall rebound in the market has become a foregone conclusion. The boost to the organic silicon market in this round mainly comes from the support of tight supply. Although some parking devices in individual factories have restarted since this month, leading to an increase in construction, there are still many enterprises in a state of reduced load production. In addition, downstream factories have also consumed inventory replenished in August to a low level, and new procurement demand has started to follow up. Additionally, the mentality of "buying up but not buying down" has been supported, and the inquiry atmosphere on the market has significantly warmed, At present, the receiving part of the individual factory has been delivered to October, and the inventory is relatively low.

The supply and demand side of organic silicon guides preferences, while the cost side also provides a strong boost. Since the beginning of the month, except for a slight decline in methanol prices, both chloroform and metallic silicon have risen significantly. Specifically, due to the maintenance of the equipment, the supply of goods in the market for dichloromethane has decreased, and the prices quoted by the holders have increased. The current quotation is between 2500 and 2700 yuan/ton, an increase of 200 yuan/ton compared to the beginning of the month; The supply and demand side of the methanol market is in a game, and due to the volatility of futures trading, the market price range fluctuates slightly. Currently, the mainstream price in East China is 2525-2535 yuan/ton; Metal silicon is mainly supported by the increase in futures prices from major manufacturers in the industry. The current port price of chemical grade 421 metal silicon is between 15400 and 15600 yuan/ton, and the current comprehensive cost of organic silicon is around 16000 yuan/ton.

At present, the mainstream reference prices for organic silicon products are: DMC quotation around 14900 yuan/ton, D4 quotation around 15200 yuan/ton, 107 rubber quotation around 15300 yuan/ton, raw rubber quotation around 15000 yuan/ton, precipitation mixed rubber 13000-13800 yuan/ton, and gas phase mixed rubber 15100-15700 yuan/ton; Domestic brands of dimethyl silicone oil are around 15500-16000 yuan, while foreign brands are around 17500-18500 yuan/ton; The mainstream negotiation for trichlorosilane ordinary grade is 5000 to 7000 yuan/ton, the photovoltaic grade is around 7000 yuan/ton, and the mainstream negotiation for gas-phase white carbon black is 15500 to 28000 yuan/ton.

Future Market Forecast

At present, there is a strong sentiment of high prices in the organic silicon market, but monomer factories are still basically unprofitable, and it is expected that there will be no significant improvement in construction. The situation of tight supply in the short term will continue, and buying and restocking operations are underway. It is rumored that some delivery dates will be early next month. The favorable supply and demand pattern is also a great opportunity for individual factories to repair profits. Currently, there is still a gap of about a thousand yuan from the cost line for organic silicon. It is expected that there will still be a high price exploration operation in the organic silicon market in the future. However, during the process of chasing high prices, close attention will be paid to the acceptance ability of buyers, and the amplitude and frequency of the adjustment will be slowed down.

JIN DUN CHEMICAL has built a special (meth) acrylic monomer manufacturing base in ZHEJIANG province. This makes sure the stable supply of HEMA, HPMA, HEA, HPA, GMA with high level quality. Our special acrylate monomers are widely used for thermosetting acrylic resins, crosslinkable emulsion polymers, acrylate anaerobic adhesive, two-component acrylate adhesive, solvent acrylate adhesive, emulsion acrylate adhesive, paper finishing agent and painting acrylic resins in adhesive.We have also developed the new and special (meth) acrylic monomers and derivatives. Such as the fluorinated acrylate monomers, It can be widely used in coating leveling agent, paints, inks, photosensitive resins, optical materials, fiber treatment, modifier for plastic or rubber field. We are aiming to be the top supplier in the field of special acrylate monomers, to share our rich experience with better quality products and professional service.

Go Back: Print