In the first quarter of this year, the net profit of listed companies in the silicone field generally achieved positive growth.

"The price of silica gel will continue to rise this year, mainly driven by factors such as the boost in global chemical product market demand after the impact of the new crown pneumonia epidemic, the recovery of industry demand, and the domestic 'dual control' policy. It will cause supply to closely follow demand, so the increase will not be too large." Hong Qianjin, a researcher at the Academia Sinica, said in an interview with a reporter from China Business News that the current large-scale expansion of the company's silica gel project will not cause excess production capacity.

Due to the low per capita GDP of emerging market countries, there is still a large gap and growth prospects in per capita organic silicon consumption compared with developed countries. Therefore, emerging market countries have a large market demand space, which is conducive to balancing the gap between my country's organic silicon export and production capacity.

Over the past two years, the focus of global manufacturing has shifted to China. Due to the strong export of terminal downstream products, new application scenarios in the market continue to expand, and demand continues to grow; in addition, silica gel is still concentrated in large and medium-sized production enterprises.

At the same time, from the perspective of the international market, the imbalance between supply and demand in the global shipping market has rapidly changed from oversupply to undersupply. The import dependence of European, American and Southeast Asian countries on Chinese silicone products continues to increase. Domestic enterprises export well, prices rise, and overseas sales are more successful. The growth rate of the industry has increased significantly.