In 2023, the silicone industry has been in a state of loss. Among them, only silicon metal is in a profitable state, and DMC has the most serious loss, once bottoming out to 13,500, resulting in a loss of nearly 2,000 yuan for one ton of DMC. Judging from the annual performance of Xingfa Chemical, Xin'an Co., Ltd. and Hesheng Silicon Industry, Xingfa Chemical and Xin'an Co., Ltd. are losing money in the entire organic silicon industry, of which Xingfa Chemical is estimated to have an annual loss of 500 million. Only Hesheng Silicon relies on the ultra-low cost of silicon metal and is barely on the verge of profitability.
Since February, the silicone industry has begun to recover, and there is a relatively large one. The recovery of the construction industry has led to an increase in the demand for silicone adhesives, which has been transmitted to the silicone industry; In addition, Hesheng Silicon Industry changed its strategy, no longer blindly suppressed, and took the lead in leading a wave.
The positive side of this wave is that the price of raw material silicon metal has not only not increased, but also decreased slightly, and it is currently around 15,000 yuan a ton. The DMC has reached 15,000-15,500, at a low level of 2,500 tons of chloromethane, which has contributed to the return of DMC to the profit zone.
Raw rubber was originally about the same as 107 rubber, but raw rubber rose to more than 17,000 alone this round, which can be said to be a good profit. Another product is silicone oil, ** has come to 18,000 yuan a ton, the profit is quite good, may Xingfa Chemical silicone oil production capacity more, benefit more.
In the first quarter of 2024, the profits of the entire silicone enterprise will recover to a certain extent, and now it seems that everyone will make money, which is a good sign.
*Is it going to be kept all the time? One thing is that everyone may not be able to fight like last year, because everyone lost a lot last year and needs to recover! As long as Hesheng Silicon Industry no longer fights the best war, it will not go down the old road again!
At present, it is unlikely that Hesheng Silicon Industry will take the initiative to launch a first-class war, because its new product polysilicon has been put into production, facing a very serious first-class war, it can be said that polysilicon has begun to lose money, and Hesheng Silicon has fewer chips. This is good news for the silicone industry!
From the perspective of the silicone industry, there will be many new applications every year, which will drive the demand for silicones. For example, silicone leather and silicone foam will have a certain breakthrough this year, and the terminal demand for these products is very large. Once the sales channel is opened, the profitability of the silicone industry will be greatly improved! Will there be surprises in the silicone industry in 2024, this possibility cannot be ruled out!