SMM March 13 News:
Cost: This week, the average price of #421 silicon (for silicone) in east China was 12,050 yuan/mt, down 50 yuan/mt WoW. Silicon metal producers lowered their quotes this week, but due to strong cost support, slight concessions were observed in some areas. The price of trichlorosilane also declined this week, with transaction prices in east China at 2,100 yuan/mt, down 100 yuan/mt WoW. Overall costs decreased compared to last week, leading to improved profit margins for monomer enterprises.
DMC: This week, domestic DMC quotes ranged from 13,900 to 14,300 yuan/mt, with low-end market quotes slightly increasing by 200 yuan/mt. The opening price of DMC on the online platform of a Shandong monomer enterprise was 13,900 yuan/mt, a slight increase WoW. Leading enterprises quoted DMC at 14,300 yuan/mt, with prices remaining stable. Other domestic monomer enterprises quoted DMC at around 14,000 yuan/mt, with the market's transaction center remaining stable. However, trading volume decreased WoW as downstream purchasing sentiment was sluggish, and resistance to current market prices was high. Monomer enterprises' inventories increased slightly, but their sentiment to stand firm on quotes remained strong, keeping DMC prices temporarily stable.
Silicone Oil: This week, domestic dimethyl silicone oil quotes increased slightly, with current market quotes ranging from 15,300 to 16,000 yuan/mt and an average price of 15,650 yuan/mt, up 250 yuan/mt WoW. As the previous price increase of silicone oil was relatively slow, recent slight improvements in downstream demand supported producers in moderately raising their quotes, driven by both cost and demand factors.
107 Silicone Rubber: This week, the price of 107 silicone rubber first rose and then fell, with current quotes ranging from 14,200 to 14,600 yuan/mt and an average price of 14,400 yuan/mt, up 150 yuan/mt WoW. At the beginning of the week, 107 silicone rubber quotes increased slightly by 250 yuan/mt, but high prices in the market later corrected downward. The main reason was that recent exhibitions brought new orders, which indeed boosted demand and supported price increases. However, the previous price hikes were relatively high, and downstream acceptance was limited, resulting in the observed price fluctuation. Moving forward, 107 silicone rubber prices are expected to remain stable as downstream resistance gradually increases.
Silicone MVQ: This week, the price of silicone MVQ ranged from 14,300 to 15,000 yuan/mt, with an average price of 14,650 yuan/mt, remaining stable. Recently, downstream raw material inventories for compound rubber have been relatively sufficient, and silicone MVQ purchases were mainly based on rigid demand. In the end-user silicone product sector, short-term demand was relatively average, and purchasing sentiment was sluggish. Overall trading volume in the silicone MVQ market was limited, with high-price transactions also constrained. The transaction center is expected to decline in the future, but the price range of silicone MVQ is likely to remain stable for now.
