Recent weeks have witnessed a flurry of developments in the silicone industry, with a sharp rise in silica prices, environmental inspections of enterprises, and IPO pursuits triggering widespread market attention, as the industry structure undergoes multiple changes.

Market data on December 16 showed that the mainstream transaction price of fumed silica in East China has climbed to RMB14,500-15,000 per ton, an increase of RMB1,000 per ton from previous levels. Rising costs are the main driver, with enterprises enjoying smooth shipments and strong willingness to maintain prices. Low-priced orders have basically disappeared, though there is no momentum for a breakthrough at the high end of the price range. Meanwhile, the domestic DMC market price remained stable at around RMB13,600 per ton. Supported by monomer manufacturers' production cuts and emission reductions as well as the delivery of pre-sold orders, enterprises face little inventory pressure, but downstream demand has not improved significantly, resulting in lackluster market transactions. In terms of industry supervision, a silicone company in Guangdong was investigated for environmental violations. The company put a rubber parts manufacturing project into production without completing environmental impact assessment (EIA) approval and acceptance of environmental protection facilities. The wastewater, waste gas, noise and other pollutants generated failed to meet environmental approval requirements. The Guangzhou Municipal Bureau of Ecology and Environment ordered the company to complete rectification by June 2, 2026. In the capital market, Wuxi Chuangda New Materials is set to pursue an IPO on the Beijing Stock Exchange on December 18, planning to raise RMB300 million for the construction of semiconductor packaging material production lines, R&D center development and supplementary working capital. Additionally, Sanyou Chemical announced the replacement of its independent director, nominating Mr. Huang Wei, an expert in polymer materials, to strengthen technical decision-making support. Internationally, the Sika Group announced the acquisition of Swedish mortar manufacturer Finja, further expanding its presence in the Nordic construction materials market. Industry insiders stated that stricter environmental supervision and technological upgrading will continue to drive industry restructuring. The 2026 Asia Silicon Technology Conference & Fair to be held in Suzhou in April will provide an important platform for industry technical exchange and cooperation, boosting the high-quality development of the silicone industry.