(August 20, 2026) The domestic silicone-based new materials market is continuing to grow. As a key raw material for liquid silicone rubber and additively manufactured silicone gels, vinyl silicone oil is in a situation where normal production capacities are sufficient, while high-end products are being gradually replaced by domestic alternatives. Orders in the fields of new energy, semiconductors, and medical consumer goods are increasing steadily, leading to stable but rising market prices.

According to recent market trends, the price of industrial-grade vinyl silicone oil in the East China region ranges from 32,000 to 35,000 yuan per ton, which is a slight increase of 2%-3% compared to earlier periods. The prices in South China and North China also rise, and some companies have already booked orders until mid-September, resulting in increased market activity. In terms of exports, the CFR price in Southeast Asia has risen to 4,200–4,500 US dollars per ton. The shift of overseas liquid silicone rubber production facilities to the Asia-Pacific region has led to an increase in domestic export orders.

Industry experts say that there is sufficient production capacity for general-purpose vinyl silicone oil in China. However, high-end products for electronic and medical applications still face technical challenges, particularly in terms of precise molecular weight control, removal of ring-shaped impurities, and management of trace metal ions. In recent years, silicone industry companies have increased research and development efforts. Through improvements in polymerization processes, multi-stage molecular distillation, and online closed-loop testing, they have been able to produce high-purity vinyl silicone oil in large quantities. The levels of ring siloxanes and metal ions meet those of international products, thereby breaking the long-term monopoly held by foreign brands.

In terms of demand, new energy has become the main driver of growth for vinyl silicone oil. Applications such as battery pack sealing, electrical control encapsulation, and photovoltaic module packaging rely heavily on additively manufactured silicone rubber, which in turn increases the need for low-volatility, high-purity vinyl silicone oil. In areas related to high-voltage wiring in new energy vehicles and battery thermal management, demand for these materials is growing at a double-digit rate. Additionally, in consumer electronics, wearable devices, and medical silicone supplies, the proportion of purchases of products with low ring-shaped impurities and no odor continues to increase. Downstream LSR companies’ purchasing criteria have shifted from mere price comparison to focusing on batch stability, catalyst compatibility, and technical support services.

In terms of technology, research efforts are focused on narrow molecular weight distributions and low-VOC green synthesis methods. Modified specialty vinyl silicone oils have become a focus of development. Products with heat-conducting modifications, flame-retardant properties, and side-chain vinyl modifications can significantly improve the tear resistance and molding efficiency of silicone rubber, making them suitable for high-demand applications such as thin-walled medical devices and semiconductor module insulation.

Looking ahead to the second half of the year, analysts believe that with high activity in the new energy and electronics industries, overall demand for vinyl silicone oil will remain strong. Competition in the industry will shift from scale expansion to quality competition. Companies that possess integrated synthesis capabilities, comprehensive testing capabilities, and customized formula services will gain a competitive advantage. The space for domestic substitution of high-end specialty models will continue to expand.