Chan Ye Xin Xi Wang·2025-05-23 01:42Industry Overview - The organic silicon industry in China is currently in a rapid expansion phase, driven by demand from strategic emerging industries such as renewable energy, 5G communication, and smart vehicles, with production capacity expected to reach 3.44 million tons and output to grow to 2.253 million tons by 2024, although capacity utilization has slightly decreased to a new low since 2018 due to concentrated expansion [1][10] - The industry is undergoing significant structural adjustments, with expansion concentrated among leading companies like Hoshine Silicon Industry and Dongyue Silicone Materials, forming a coal-electricity-silicon integrated industrial cluster in regions with energy cost advantages such as Xinjiang and Inner Mongolia [1][10] Policy Background - China's organic silicon industry policies focus on technological iteration, green transformation, and industrial chain collaboration, promoting upgrades towards high-end, refined, and low-carbon directions [4] - The policy framework emphasizes technological breakthroughs, particularly in the development of specialty materials such as phenyl monomers and fluorosilicone polymers, and encourages the application of innovations in cutting-edge fields like aerospace and semiconductor packaging [4] Industry Chain - The upstream of the organic silicon industry relies on metallic silicon and methyl chloride as core raw materials, with metallic silicon forming a large-scale supply system in energy-rich areas, while methyl chloride's self-sufficiency is enhanced through recycling processes [6] - The midstream focuses on the synthesis and deep processing of organic silicon monomers, with a product matrix dominated by silicone rubber, silicone oil, and silicone resin, catering to various industrial needs [6] Competitive Landscape - The organic silicon industry in China exhibits a highly concentrated competitive landscape, with leading companies leveraging technological advantages and scale effects to dominate the market, resulting in a tiered structure [14] - As of 2024, there are 13 major organic silicon monomer production companies, with Hoshine Silicon Industry, Dongyue Silicone Materials, and Jiangxi Xinghuo being the largest in terms of production capacity [14] Development Trends - The organic silicon industry is accelerating its transition towards green and low-carbon practices, with companies innovating production processes to reduce energy consumption and pollution [16] - The focus is shifting from traditional sectors like construction and textiles to high-end fields such as renewable energy, electronic communication, and healthcare, with increasing demand for high-performance organic silicon materials in applications like photovoltaic module encapsulation and thermal management for electric vehicle batteries [16]