(September 2, 2026) The silicone intermediate market continues to recover. As the core crosslinker for additive silicone rubber and an important synthetic raw material for various modified silicone oils, hydrogen-containing silicone oil is driven by downstream sectors such as new energy, semiconductor packaging, and AI liquid cooling. The industry is showing a pattern of stable traditional applications and volume growth in the high-end sector. 

Hydrogen-containing silicone oil, thanks to its intramolecular active silicon-hydrogen bonds, can be used to produce polyether silicone oil, phenyl-modified silicone oil, and many other functional silicone products through silicon hydroaddition reactions. It is widely used in traditional fields like textile waterproofing, release coatings, building waterproofing, and silicone rubber products. Textiles and release films remain the basic consumer sectors, but the growth focus is gradually shifting toward high value-added tracks. Industry research data shows that in 2026, overall domestic demand for hydrogen silicone oil will continue to rise, with new energy vehicle battery sealing, photovoltaic module packaging, and advanced semiconductor packaging becoming the core drivers of incremental growth, with demand growth in related segments significantly exceeding the industry average. 

In the new energy vehicle sector, the widespread adoption of 800V high-voltage platforms and continuous improvement of battery energy density have set higher standards for batch stability and low impurity indicators of high-purity hydrogen-containing silicone oil in battery packs, driving a steady increase in the proportion of mid-to-high-end grade product procurement. In the photovoltaic industry, hydrogen-containing silicone oil is used as a crosslinking component in module sealants, ensuring long-term outdoor weather resistance; The rapid implementation of immersion liquid cooling solutions for AI computing power data centers has opened up full new growth potential for special hydrogen silicone oil, replacing some fluorine-containing cooling media and creating considerable new market opportunities. 

On the supply side, domestic silicone industry clusters are accelerating integrated layout, with multiple new construction and technological transformation projects landing in Jiangxi, Inner Mongolia, Zhejiang, and other regions. Local companies have already achieved full domestic substitution in general-purpose hydrogen-containing silicone oil. However, high-purity grades such as semiconductor-grade and medical-grade still have room for improvement in controlling low-cyclic and low-ionic impurities. Leading companies continue to increase process R&D and patent layouts, and patents related to new low-viscosity, low-ring hydrogen-containing silicone oil have been successively disclosed, accelerating breakthroughs in high-end domestic products. 

On the foreign trade front, EU REACH and PFAS controls continue to tighten, overseas customers are raising compliance requirements for product VOC and impurity content, and export business places greater emphasis on complete COA reports and compliance qualifications. Industry insiders analyze that future market competition will no longer be purely about price; product customization, batch consistency, and supporting technical services will become core competitive strengths for companies. In the short term, upstream silicon raw material price fluctuations will continue to disrupt hydrogen-containing silicone oil costs. In the medium to long term, with continued release of demand for new energy and electronic new materials, the industry will maintain a structurally positive trend.