(August 28, 2026) The domestic silicone intermediate market continues to recover. Hydroxyl silicone oil, as the core basic raw material for room-temperature vulcanized silicone rubber and modified silicone oil synthesis, is steadily rising with the expansion of photovoltaic packaging, new energy vehicle sealing, and electronic packaging materials industries. The process of domestic substitution of high-end specification products is accelerating. 

From market quotation perspective, in late August, the mainstream domestic price for industrial-grade bishydroxy-terminated hydroxy silicone oil remained in the 22,000-28,000 yuan range per ton. There were significant price differences among products with different hydroxyl content, viscosity, and purity grades. Ordinary industrial-grade supply was ample, and electronic-grade, low-volatility, narrow-distribution high-end hydroxy silicone oil remained in a tightly balanced state. 

Industry research shows that the overall domestic hydroxy silicone oil market size is expected to grow steadily by 2026, with high-activity hydroxy silicone oil segments for power device packaging, AI server liquid cooling potting gels, and photovoltaic sealants growing significantly faster than ordinary industrial categories. Previously, high-end hydroxy silicone oil had long relied on overseas imports. Due to overseas factory maintenance and extended logistics cycles, import delivery times lengthened, and downstream new energy and new materials companies accelerated their shift to qualified domestic suppliers. Leading domestic companies completed multiple batches of substitution validation. Compared to imported products, domestic sample validation cycles shortened by 7-15 days, and overall procurement costs decreased by 18%-24%. 

On the supply side, many domestic silicone companies are expanding specialty silicone oil capacity, focusing on low-viscosity, high-hydroxyl content, and low-cyclic residue hydroxy silicone oil product lines, suitable for electronics, medical, high-end textile auxiliaries, and other scenarios. Industry analysts say that as downstream industries such as new energy vehicles, energy storage, and semiconductor packaging continue to develop, the hydroxy-based silicone oil market has considerable incremental potential. However, high-end products require strict synthesis processes and impurity control, and technical barriers will remain the core of industry competition. In the future, the industry will iterate and upgrade toward higher purity, customization, and green synthesis.