Production Cuts Boost Organic Silicon Price Elasticity

In early 2025, facing overcapacity challenges, the domestic organic silicon industry jointly initiated a production cut plan to optimize market supply and demand structures. Several enterprises announced a 20% reduction in production, lowering industry operating rates to around 70%. This measure quickly propelled organic silicon prices upwards, particularly for key raw materials like dimethyl carbonate (DMC). As the production cut plan deepens, the market widely expects organic silicon prices to continue rising, benefiting downstream products such as silicone oils and silicone rubbers.
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