On January 16, 2026, Shanghai - Recently, there has been a price differentiation in the phenyl silicone oil market, with low viscosity products experiencing price drops due to oversupply, while high-purity and high phenyl content products have maintained high prices due to rising raw material costs. According to data from Alibaba platform, the wholesale price of ordinary industrial grade phenyl silicone oil has dropped to 55-100 yuan/kg, while the price of high-purity cosmetic products is still as high as 1600-1800 yuan/kg.


Pressure transmission of raw material costs, enterprises seeking alternative solutions
The main raw materials of phenyl silicone oil include phenyl trialkoxysilane, dimethyl silicone oil, etc., and its price is significantly affected by fluctuations in the industrial silicon market. The latest report from Everbright Futures shows that the main contract price for industrial silicon in January 2026 fluctuated to 8980 yuan/ton, although slightly recovering from the previous month, the production reduction in the polysilicon and organosilicon industries has led to weak demand and continued pressure on raw material costs. To this end, some enterprises have begun to explore circular economy models, such as reducing raw material costs through silicon waste recycling and purification, or developing composite silicone oil products to reduce dependence on single raw materials.


Downstream application differentiation highlights resilience in the high-end market
Despite price fluctuations, the demand for phenyl silicone oil in the high-end sector remains strong. In the electronics industry, new infrastructure such as 5G base stations and new energy vehicle charging piles have seen a surge in demand for high-temperature resistant silicone oil; In the medical field, phenyl silicone oil is used to prepare long-acting lubricants and drug carriers due to its biocompatibility. In contrast, the traditional industrial lubrication market is highly price sensitive due to fierce competition, and some manufacturers have transformed into high value-added fields through technological upgrades.


Industry call: Strengthen standard setting and industry university research cooperation
In the face of market changes, Li Ming, Secretary General of the China Organic Silicon Industry Association, stated that "the phenyl silicone oil industry needs to accelerate the development of unified quality standards to avoid vicious competition at low prices. At the same time, enterprises should cooperate with universities and research institutions to break through bottleneck technologies, such as developing ultra-low temperature silicone oil resistant to -60 ℃ or self-healing intelligent silicone oil." It is reported that institutions such as the Hebei Iron and Steel Materials Research Institute have jointly applied for a patent for "high toughness non-magnetic ultra-low temperature alloys and their preparation methods," providing new ideas for silicone oil materials used in extreme environments.


Future outlook: Trends towards greenization and intelligentization
With the advancement of the "dual carbon" target, the phenyl silicone oil industry is accelerating its transformation towards green manufacturing. Jiangxi Tianyu Chemical and other enterprises have reduced the carbon footprint of their products by 20% through nano additive modification technology; The polyamide phenyl silicone oil composite material developed by Sinopec Beijing Institute of Chemical Technology has achieved a breakthrough of over 90% recyclability. Industry predictions suggest that by 2030, the proportion of green products in the global phenyl silicone oil market will exceed 40%, and AI driven intelligent production systems will further enhance industry efficiency.