In 2025, the expansion cycle of the organic silicone industry is gradually coming to an end. Industry observers note that China's organic silicone production capacity has undergone rapid expansion, benefiting from rapid downstream demand growth and attractive profits. However, with the concentrated release of new production capacity in 2024, the supply side has formed considerable pressure. Looking ahead, there are no large-scale new production capacities in the pipeline for the organic silicone industry, with only a few planned capacities yet to be implemented. This means that competition in the organic silicone industry will increasingly focus on the optimization and absorption of existing capacities. Meanwhile, the expected exit of overseas capacities will provide more market opportunities for domestic organic silicone enterprises. Against this backdrop, the organic silicone industry is expected to enter a more stable and orderly development phase.
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