For the Quarter Ending September 2025
North America
• In the United States, the Silicone Resin Price Index fell in Q3 2025, due to global oversupply and competitive imports.
• Production costs faced upward pressure from a 2.6% PPI rise in August 2025 and moderate methyl chloride growth.
• Silicon metal costs saw a downward trajectory in Q3 2025, though US prices marginally inclined in September.
• Demand was supported by strengthening automotive sales and surging residential construction spending in Q3 2025.
• Healthy retail sales (up 5.42% in September 2025) and a 4.3% unemployment rate boosted consumer demand.
• Modest industrial production growth (0.1% in September 2025) and declining consumer confidence (94.2) limited demand.
• Ample global silicon metal supply and balanced methyl chloride inventories prevented sharp price swings.
• Overall inflation, with CPI up 3.0% in September 2025, impacted production expenses and consumer purchasing.
Why did the price of Silicone Resin change in September 2025 in North America?
• Persistent global oversupply in the chemicals industry exerted downward price pressure.
• Moderate import activity for silicon metal from Asian suppliers intensified competitive conditions.
• Despite a 2.6% PPI rise in August 2025, ample supply limited cost pass-through.
APAC
• In China, the Silicone Resin Price Index declined quarter-over-quarter in Q3 2025, influenced by deflationary pressures and ample supply.
• The Manufacturing Index contracted in September 2025, indicating reduced industrial activity and lower new orders for inputs.
• Consumer Price Index (CPI) decreased by 0.3% year-over-year in September 2025, signaling weak consumer demand.
• Producer Price Index (PPI) fell by 2.3% year-over-year in September 2025, reflecting lower input costs and weak downstream pricing.
• Silicone Resin production costs saw methanol feedstock decline moderately in Q3 2025, while silicon metal costs were mixed.
• Automotive sector demand strengthened significantly in Q3 2025, driven by surging exports and robust domestic sales.
• Industrial Production expanded by 6.5% year-over-year in September 2025, supporting overall manufacturing output.
• Methanol and silicon metal inventories gradually built up during Q3 2025, suggesting moderate consumption against ample supply.
Why did the price of Silicone Resin change in September 2025 in APAC?
• Deflationary pressures from a 0.3% CPI decrease in September 2025 weakened overall consumer demand.
• The Manufacturing Index contracted in September 2025, reducing industrial activity and new orders.
• Ample silicon metal supply and declining methanol feedstock costs contributed to downward price pressure.
Europe
• In Germany, the Silicone Resin Price Index fell in Q3 2025, due to lower feedstock costs and contracting industrial demand.
• Silicone Resin production costs decreased in Q3 2025, as producer prices fell 1.7% in September 2025.
• Silicon metal and methanol feedstock costs plummeted in Q3 2025 due to weaker consumption and ample availability.
• Demand for Silicone Resin weakened as industrial production declined 1.0% in September 2025.
• The Manufacturing Index indicated contracting activity in Q3 2025, reducing demand for industrial raw materials.
• Rising CPI by 2.4% in September 2025 indicated increased general costs, impacting consumer purchasing power.
• Despite a 0.2% retail sales rise and stable 6.3% unemployment in September 2025, economic stagnation limited demand.
• High European silicon metal and ample methanol inventories in Q3 2025 contributed to market oversupply.
• The Silicone Resin Price Index is forecast to remain stable or decline, given persistent overcapacity and subdued industrial activity.
Why did the price of Silicone Resin change in September 2025 in Europe?
• Production costs decreased from plummeting silicon metal and falling methanol feedstock in Q3 2025.
• Weakened industrial demand, production declined 1.0% in September 2025, and manufacturing contracted.
• High inventories of key feedstocks and intensified Asian imports caused market oversupply.
