For the Quarter Ending June 2025
North America
• The Dimethylcyclosiloxane (DMC) Price Index in the USA rose by 3.1% quarter-over-quarter during Q2 2025.
• Supply remained steady, though manufacturing costs were pressured by rising upstream silicon metal prices in April and June. U.S. tariffs on steel and aluminum added to the cost strain.
• Demand from the automotive sector was strong in April, with a 9.9% YoY jump in vehicle sales, while the construction sector showed mixed performance, constrained by high mortgage rates and weather challenges in May.
• Inventories swelled during May due to supply overshooting demand, despite stable production. In June, export demand (especially from China) offered marginal relief.
• The DMC Price Index followed a moderately bullish path overall in Q2, supported by higher feedstock costs and resilient automotive demand early in the quarter.
Why did the Dimethylcyclosiloxane (DMC) Price Index change in July 2025 in North America?
• In July 2025, DMC prices declined in the U.S., driven by weakening domestic demand, excessive inventories, and stabilization of upstream feedstock costs.
• The Dimethylcyclosiloxane (DMC) Production Cost Trend leveled out, while cautious procurement behavior from end-users further pressured prices.
Europe
• The Dimethylcyclosiloxane (DMC) Price Index in Germany increased by 2.9% quarter-over-quarter in Q2 2025.
• Production was stable throughout the quarter, but supply chains faced headwinds from severe port congestion and rail transport delays, especially in June.
• Demand was driven by strong EV manufacturing in April and a rebound in civil engineering works in June. Export demand from China also strengthened toward quarter-end.
• Despite low upstream silicon metal prices, operational bottlenecks and logistical constraints kept pricing firm.
• The European DMC Price Index showed a mildly bullish trend in Q2, supported by demand-side recovery and constrained logistics.
Why did the Dimethylcyclosiloxane (DMC) Price Index change in July 2025 in Europe?
• In July 2025, DMC prices in Germany declined due to easing supply-side constraints and softening downstream demand, particularly in residential construction.
• Export pull from China also slowed, contributing to the downward trend in the Dimethylcyclosiloxane (DMC) Price Forecast.
Asia Pacific (APAC)
• The Dimethylcyclosiloxane (DMC) Price Index in China declined by 10.4% on a quarter-over-quarter basis in Q2 2025.
• DMC production benefited from declining silicon metal prices in April, while supply remained ample and relatively undisturbed by global tariffs.
• Demand was strong in May and June, particularly from automotive (NEV) and construction sectors, although April saw lower procurement due to sufficient inventory levels.
• New energy vehicle (NEV) sales and domestic excavator shipments contributed to improved consumption, even as export momentum was capped by the early monsoon in regional markets.
• Overall, the APAC DMC Price Index experienced a U-shaped trend in Q2, sharply declining in April, recovering in May–June, but failing to fully reverse early losses.
Why did the Dimethylcyclosiloxane (DMC) Price Index change in July 2025 in APAC?
• In July 2025, DMC prices in China declined due to inventory buildup, easing domestic demand, and weakened export sentiment across key Asian construction markets. This reinforced a bearish tone in the Dimethylcyclosiloxane (DMC) Demand Outlook for early Q3.
For the Quarter Ending March 2025
North America
During the first quarter of 2025, the North American Dimethylcyclosiloxane (DMC) market witnessed a price decline of 6% compared to the previous quarter, shaped by a mix of fluctuating demand and evolving supply conditions. In January, prices dipped amid moderate demand, steady inventories, and winter-related production disruptions. While the personal care and cosmetics sectors showed resilience, broader consumer spending remained soft, and transportation delays added pressure to the supply chain.
February saw a brief rebound in prices, supported by restocking activities and strong demand from the personal care industry. Rising feedstock costs and expectations of tariffs prompted preemptive buying, tightening the supply-demand balance. However, sluggish performance in the automotive and industrial sectors tempered broader momentum.
By March, prices declined again due to easing production costs, steady domestic output, and high inventory levels. Despite consistent downstream activity, particularly in automotive and personal care, weak construction demand and cautious procurement strategies led sellers to adopt more competitive pricing. The overall market tone softened, reinforcing the quarterly price drop.
APAC
During the first quarter of 2025, the APAC Dimethylcyclosiloxane (DMC) market witnessed a price decline of 2.5% compared to the previous quarter, influenced by fluctuating supply-demand dynamics across the region. In January, prices fell due to ample inventories, steady production rates, and weakened demand from sectors like personal care and cosmetics. Despite port congestion affecting some key trade hubs, stable feedstock availability helped maintain smooth manufacturing operations, though overall consumption remained subdued amid economic uncertainty and cautious industrial activity. February brought a temporary price rebound as demand strengthened from industries such as automotive, construction, and personal care. Tighter supply conditions, rising raw material costs, and continued logistical disruptions contributed to the upward price movement. Market participants responded with strategic procurement and tighter inventory management, navigating the more competitive environment. By March, prices dipped again as high production levels led to inventory buildup and an oversupplied market. Combined with a drop in feedstock costs, suppliers adopted more competitive pricing strategies despite steady demand from core downstream industries, reinforcing the overall downward trend.
Europe
During the first quarter of 2025, the European Dimethylcyclosiloxane (DMC) market witnessed a 7% decline in prices compared to the previous quarter, influenced by fluctuating demand, cost pressures, and evolving supply dynamics. In January, prices fell slightly due to modest demand and logistical constraints, including rising energy costs and limited raw material availability. Key sectors like beauty, construction, and automotive remained subdued, putting downward pressure on market sentiment. In February, DMC prices increased, driven by global feedstock cost increases and local supply disruptions, including port congestion and strikes. Despite weak demand from the automotive and construction sectors, stable offtake from personal care and cosmetics helped support the price uptick. However, March saw a decline in DMC prices due to oversupply, reduced upstream costs, and cautious procurement across the region. Although supply remained steady with no major disruptions, softening demand and competitive market conditions led suppliers to adjust prices downward. Overall, Q1 was marked by volatility, oversupply, and weak economic sentiment.
For the Quarter Ending December 2024
North America
During the fourth quarter of 2024, the North American Dimethylcyclosiloxane (DMC) market faced significant downward pressure on prices due to multiple interrelated factors. Weak downstream demand, particularly from the silicone industry, was a primary driver, with sectors such as automotive and construction struggling under the weight of high interest rates and reduced consumer spending. Stable production levels in the domestic market contributed to an oversupply, further straining market dynamics.
Additionally, feedstock costs, especially for dimethyldichlorosilane (DMDC), eased as raw material prices softened, and supply chains improved, reducing overall production expenses. The downward trend accelerated as freight rates stabilized and supply flows remained uninterrupted.
Globally, challenges such as subdued demand for silicone rubber in South Korea and a contracting manufacturing sector in China compounded the situation, with manufacturers facing increased production costs and declining export demand. In India, weak manufacturing activity in key sectors like automotive and construction also hindered global demand. These combined factors underscored a bearish outlook for the DMC market, reflecting broader economic uncertainties.
APAC
During the initial months of the fourth quarter of 2024, the Dimethylcyclosiloxane (DMC) market in Asia-Pacific experienced significant price declines, followed by a period of stability in December. The early decline was driven by stable yet subdued downstream demand and easing feedstock costs, particularly for dimethyldichlorosilane (DMDC), as raw material prices softened, and supply chains improved. The silicone market, a key consumer of DMC, maintained consistent demand from sectors like automotive and construction, though these industries were constrained by high interest rates and reduced consumer spending. Oversupply in the domestic market, due to steady production levels, added further pressure on prices. The downward trend was amplified by reduced production costs, smooth supply flow, and stable freight charges. By December, the market showed resilience with balanced supply levels and sufficient inventories, despite subdued performance in the silicone rubber sector and weaker export demand across Asia. Stable domestic consumption and strong demand from the U.S. silicone rubber market provided some support, resulting in a steadying of prices and a cautiously optimistic market outlook.
Europe
The European Dimethylcyclosiloxane (DMC) market witnessed a sharp decline in prices during the fourth quarter of 2024, driven by a combination of weak downstream demand and easing feedstock costs. In Germany, the silicone market, a key consumer of DMC, faced sluggish demand from industries like automotive and construction, which were adversely affected by high interest rates and reduced consumer spending. Oversupply in the domestic market, supported by stable production levels despite subdued demand, exerted further downward pressure on prices. Feedstock costs, particularly for dimethyldichlorosilane (DMDC), softened as raw material prices declined, and supply chains improved, reducing production expenses. By November, the downturn accelerated due to reduced demand from downstream industries, notably Silicone Elastomers, as well as stable freight charges and uninterrupted supply flows. In December, the DMC market showed signs of stagnation, as stable domestic demand was offset by weaker export offtake, particularly from the Asian Silicone Rubber sector. Global challenges, such as manufacturing slowdowns in South Korea and China, and subdued demand in India, further underscored the bearish market trajectory for DMC.
For the Quarter Ending September 2024
North America
In Q3 2024, the Dimethylcyclosiloxane (DMC) market in North America faced a notable decline in prices, particularly in the USA. Several factors contributed to this downward trend, most prominently weak demand from downstream industries such as paints and coatings, which significantly affected pricing. Additionally, reduced feedstock costs, particularly for Methanol, lowered production expenses, exerting further downward pressure on DMC prices.
The market also dealt with supply chain disruptions that complicated timely deliveries, complicating the pricing environment. In the U.S., this negative pricing trend was evident throughout the quarter, as seasonal dynamics and overall market conditions correlated with the price decrease. The quarter-on-quarter change of -1.71% highlighted the persistent decline, and prices were considerably lower than in the same quarter last year.
The quarter concluded with DMC priced at USD 3,050/MT CPT USGC, marking a challenging period for the market. Overall, these conditions reflected ongoing pressures that contributed to a sustained downward trajectory in DMC pricing across the North American region.
APAC
In Q3 2024, the Dimethylcyclosiloxane (DMC) market in the APAC region experienced a notable price increase, primarily driven by developments in China. Prices rose steadily throughout the quarter, influenced by strong demand from downstream industries, such as automotive and electronics, coupled with supply constraints and rising production costs. Disruptions, including plant shutdowns and logistical challenges, further exacerbated the supply tightness, contributing to the upward pricing pressure. China, in particular, saw the most significant price fluctuations, reflecting the overall trend across the region, with synchronized pricing movements among countries such as Japan and South Korea. Despite some seasonal variations, the market maintained a positive pricing environment, recording an 8% increase compared to the same quarter last year, while prices remained stable from the previous quarter. By the quarter's end, DMC was priced at USD 1,950/MT FOB Shanghai, indicating a considerable rise from earlier in the quarter. This performance underscores the upward momentum within the DMC market in the APAC region, driven by strong demand, ongoing supply-side challenges, and the overall positive market sentiment.
Europe
In Q3 2024, Dimethylcyclosiloxane (DMC) prices in the European region experienced a notable decline, largely due to decreased demand from essential downstream sectors, including silicone rubber, adhesives, and coatings. The market faced significant challenges as key industries like automotive, construction, and aerospace showed lackluster performance, resulting in subdued overall market conditions. Additionally, global economic uncertainties and falling industrial activity further impacted the pricing environment for DMC. Germany reported the most substantial price changes, with a -1.04% decrease from the previous quarter and an even more pronounced -8% drop between the first and second halves of the quarter. By the end of the quarter, DMC prices in Germany settled at USD 3,240/MT FD Hamburg, reflecting the prevailing negative pricing trend. Despite moderate supply levels and some demand from specific downstream sectors, the overall market sentiment remained bearish, with challenging conditions contributing to the downward trajectory in prices. This combination of factors underscores the difficulties faced in the DMC market across Europe during this period.
Frequently Asked Questions (FAQs)
1. What is the current price trend of Dimethylcyclosiloxane (DMC)?
As of July 2025, the Dimethylcyclosiloxane (DMC) Price Index is trending downward globally, with prices falling in the U.S., Germany, and China due to soft demand, inventory corrections, and easing upstream cost pressures.
2. What is the Dimethylcyclosiloxane (DMC) Production Cost Trend in 2025?
In Q2 2025, the Dimethylcyclosiloxane (DMC) Production Cost Trend was volatile. U.S. producers faced rising input costs from tariffs and feedstock volatility, while EU and APAC producers benefited from softer silicon metal prices but faced logistical and operational disruptions.
3. Who are the top Dimethylcyclosiloxane (DMC) producers in the United States?
Leading DMC producers in the U.S. include Dow Inc., Momentive Performance Materials, and Wacker Chemical Corporation, serving key sectors such as automotive, construction, and personal care.
4. What is the Dimethylcyclosiloxane (DMC) Demand Outlook for the rest of 2025?
The Dimethylcyclosiloxane (DMC) Demand Outlook remains cautiously optimistic. While automotive and construction demand showed resilience in Q2, rising interest rates and inventory surpluses may temper growth in Q3. Export demand will likely play a pivotal role in shaping future price momentum.
