In October 2025, the global silicone industry is undergoing a profound transformation centered around green technology. With the promotion of the "dual carbon" goal, China's organic silicon industry is gradually breaking away from traditional path dependence and moving towards a new stage of high-quality development through the research and development of bio based materials, legislation on circular economy, and high-end transformation.


Breakthrough in bio based materials, restructuring the industrial logic
In July 2025, the world's first 10000 ton bio based silicone rubber production line was put into operation in Shandong, marking the complete elimination of dependence on petroleum raw materials for organic silicon materials. This technology uses rice husks to produce highly active silane, with costs approaching those of petroleum based routes, while significantly reducing carbon emissions. According to calculations, the carbon footprint of bio based silicone rubber throughout its entire lifecycle is reduced by 40% compared to traditional products. It has passed the EU's "Carbon Footprint Traceability" certification, opening up international markets for exported products such as photovoltaic rubber.
At the same time, the company has partnered with chemical giants to lay out sugarcane based methanol projects in Brazil, breaking the curse of "methanol metal silicon" price linkage. The rice husk silane technology developed by the Chinese Academy of Sciences has been applied on a large scale, promoting the transformation of organosilicon from a "resource consuming" to a "bio recycling" type.


Legislation on circular economy promotes the emergence of new business models such as "urban mines"
The "Action Plan for High Quality Development of New Materials Industry in the 15th Five Year Plan" of the Ministry of Industry and Information Technology in 2025 clearly requires that the mandatory recycling rate of silicone adhesive for building demolition should reach 60% by 2028. This policy has given rise to a "trade in" recycling system, and a pilot project in Guangzhou has shown that the performance of recycled silicone rubber reaches 95% of that of raw materials, reducing costs by 30%.
In the field of waste treatment, enterprises convert the by-products of the Mueller Rocho process into high value-added monomers through proton hydrolysis reactions mediated by superacids, achieving green conversion of industrial waste. This technology not only solves the problem of waste accumulation, but also provides new profit growth points for the organic silicon industry.


High end transformation, breaking through the bottleneck technology
Faced with overseas technology blockade, domestic enterprises are accelerating the localization process of electronic grade silicone oil. The National Manufacturing Fund provides special support for the research and development of etching solutions, and the "Semiconductor Material Certification Accelerator" of China Research Institute Puhua helps silane coupling agent companies overcome TSMC's supply chain. It is expected that the dependence on electronic grade silicone oil imports will decrease to below 30% by 2026.
In the medical field, biodegradable silicone rubber vascular stents have entered the clinical stage with a tensile strength of 15MPa, meeting the certification requirements for Class III medical devices. The polylactic acid/silicone rubber composite material developed by a certain enterprise can completely degrade in the human body within 6 months, with a market potential of over 100 billion yuan.


Dual wheel drive of policy and market
In the fourth quarter of 2025, the price of organic silicon intermediates remained stable and improved, with an average price increase of 5% month on month in October. However, due to the impact of the traditional off-season demand in November and December, the expected fluctuation range is 10500-11500 yuan/ton. Industry analysts pointed out that with the implementation of the "15th Five Year Plan", the energy consumption of newly built single units needs to be 20% lower than the industry average, which forces enterprises to adopt fluidized bed reactors instead of traditional processes. Dongyue Group has achieved a 34% reduction in consumption through the upgrade path of chloromethane method.
In this green revolution, China's silicone industry is shifting from "scale expansion" to "value creation". The three major paths of bio based materials, circular economy, and high-end transformation not only reshape the competitive landscape of the industry, but also inject sustainable growth momentum into the global organic silicon market.