In the field of chemical materials, the silicone oil industry is embracing an unprecedented development opportunity. With the continuous iteration of technology and the diversified evolution of market demand, silicone oil not only consolidates its position in traditional application fields but also demonstrates strong potential in emerging cross-border scenarios. Meanwhile, the trend of industrial collaborative upgrading is becoming increasingly evident.

Expansion into Emerging Application Areas Opens up New Growth Spaces

In recent years, the application of silicone oil in emerging fields such as new energy vehicles and smart wearable devices has gradually emerged. In the new energy vehicle sector, silicone oil, with its excellent thermal conductivity, insulation, and resistance to high and low temperatures, has become a key material for battery thermal management systems and motor insulation protection. Contemporary Amperex Technology Co., Limited (CATL) has collaborated with several silicone oil suppliers to apply high thermal conductivity silicone oil to the cooling modules of its new battery packs, effectively enhancing the stability and service life of the batteries, enabling them to maintain efficient operation even in extreme environments. According to market research institutions, the demand for silicone oil in the new energy vehicle field is expected to grow at an average annual rate of 18% by 2026, becoming an important growth point for the industry.
In the field of smart wearable devices, silicone oil is widely used in the straps of smartwatches and bracelets as well as in the sealing of sensors due to its softness, skin-friendliness, and good waterproof performance. Apple Inc. has applied a specially formulated silicone oil coating in its latest generation of smartwatches, which not only improves the wearing comfort of the product but also enhances the device's waterproof and dustproof capabilities, effectively protecting the internal precision electronic components. With the continuous expansion of the global smart wearable device market, it is expected that the demand for silicone oil in this field will experience explosive growth in the coming years.
In addition, in the biomedical field, silicone oil also shows great application potential. Medical-grade silicone oil has good biocompatibility and stability and is used in medical products such as intraocular lenses and soft tissue fillers. The new intraocular lens developed by Aier Eye Hospital Group, a domestic enterprise, uses medical-grade silicone oil as a filling material, improving the success rate of the surgery and the visual quality of patients, which has been widely recognized by the market.

The Market Competition Pattern is Changing, and Enterprises are Accelerating Their Layout

With the continuous expansion of the silicone oil market, the industry competition pattern has also changed significantly. On the one hand, traditional chemical giants are increasing their R&D investment to consolidate their advantages in high-end product areas. International enterprises such as Dow Corning and Wacker Chemie continue to optimize the silicone oil production process and launch a series of high-performance and high-value-added products to seize market share in high-end markets such as electronics, information technology, and aerospace. For example, the new electronic-grade silicone oil launched by Dow Corning has a purity of 99.9999%, which can meet the stringent requirements of the semiconductor manufacturing field and occupies a leading position in the global market.
On the other hand, domestic enterprises, with their cost advantages and localized services, are rapidly rising in the low and mid-end markets and gradually moving towards high-end areas. Zhejiang Xinan Chemical Ind Co., Ltd., as a leading enterprise in the domestic silicone industry, continuously improves product quality and production efficiency through technological innovation and industrial integration. The polyether-modified silicone oil developed by the company is widely used in fields such as textile printing and dyeing and leather processing, and its market share continues to increase. At the same time, Xinan Chemical Ind Co., Ltd. has increased its R&D efforts in high-end silicone oil products, cooperated with universities and scientific research institutions, broken through technical bottlenecks, and gradually narrowed the gap with international enterprises.
In addition, some emerging enterprises have also made a mark in the market with their differentiated competition strategies. GreenSilicon, a startup company focusing on the R&D and production of bio-based silicone oil, produces environmentally friendly silicone oil using renewable resources. The products have characteristics such as low VOCs emissions and biodegradability, which are favored by many customers with strong environmental awareness and have successfully opened up a segmented market.

Industrial Collaborative Upgrades Promote Sustainable Development

To cope with market changes and industry challenges, enterprises upstream and downstream of the silicone oil industry chain are actively strengthening cooperation to promote industrial collaborative upgrades. Raw material suppliers and production enterprises establish long-term and stable cooperative relationships to ensure the stable supply and quality control of raw materials. At the same time, production enterprises closely collaborate with downstream application enterprises to develop customized products according to customer needs, improving product adaptability and added value. For example, a silicone oil production enterprise has cooperated with an automobile manufacturer to jointly develop a high-performance motor insulation silicone oil for the special needs of new energy vehicles. This not only meets the technical requirements of the automobile manufacturer but also opens up new market space for itself.
In terms of sustainable development, enterprises within the industry are actively responding to the national "dual carbon" goal and increasing the R&D and application of green production technologies. By optimizing the production process, adopting clean energy, and strengthening waste recycling and utilization, the energy consumption and pollutant emissions during the production process are reduced. Some enterprises are also actively exploring the recycling and reuse technology of silicone oil to improve resource utilization and reduce the impact on the environment. For example, Shin-Etsu Chemical Co., Ltd. has established a silicone oil recycling and processing center in Japan. Through advanced technical means, the recycled silicone oil is regenerated and reused in production, achieving the circular utilization of resources.
In the future, with the continuous progress of technology and the sustained growth of market demand, the silicone oil industry is expected to achieve greater breakthroughs in emerging application areas, and industrial collaborative upgrades will further enhance the overall competitiveness and sustainable development capabilities of the industry. Enterprises need to continuously increase their innovation investment and improve product quality and service levels to adapt to market changes and industry development trends.