On November 10, 2025, Yunnan Energy Investment Group's subsidiary Yunnan Energy Investment Silicon Material Technology Development Co., Ltd. announced that its independently developed low ring ethyl silicone oil has achieved large-scale production, with an annual production capacity of 5000 tons, becoming the first silicone oil product in China to pass the EU REACH and RoHS environmental certification. This technological breakthrough will promote the domestic substitution of high-end fields such as electronic packaging and biomedical materials.


Traditional ethyl silicone oil requires secondary vulcanization to reduce volatility due to its high ring content, but energy consumption increases by 30% and it is difficult to meet environmental regulations. The Yunnan Energy Investment Silicon Materials R&D team spent 18 months tackling key technologies such as catalyst screening and polymerization process optimization, and developed a fully automated control system for the entire process. According to Li Zhengyun, the company's technical director, the new process reduces the ring content from the industry average of 8% to below 0.5%, reduces volatile organic compounds (VOCs) emissions by 90%, and achieves a product purity of 99.9%. It can be directly used in precision manufacturing scenarios such as semiconductor packaging and artificial heart valves.


Market data shows that the market size of ethyl silicone oil in China will reach 274 million yuan in 2024, with over 60% of the high-end sector relying on imports. Yunnan Energy Investment's silicon material products have passed the supply chain certification of companies such as Huawei and BYD, and have been widely applied in scenarios such as 5G communication base station cooling systems and sealing of new energy vehicle battery modules. The company plans to invest 300 million yuan in the construction of the second phase project in the next three years, with a target annual production capacity of over 20000 tons, and develop derivative products such as fluorinated modified ethyl silicone oil to seize the global high-end market.


Industry analysts point out that with the advancement of the "dual carbon" target, low cyclic and low volatile silicone oils will become mainstream. The technological breakthrough of Yunnan Nengtou Silicon Materials not only breaks the foreign monopoly, but also drives the domestic organic silicon industry to transform towards green and high-end through collaborative innovation in the industrial chain.