Company News

Global Silicone Network, December 2nd: Public information shows that 2022 new competitors for silicone have emerged one after another, and the good days of the supply side are no longer. According to sources, an upstream brand enterprise has invested a total of 500 million yuan in the production outsourcing model (CDMO) of compound rubber, silicone rubber, and liquid rubber, and is launching an offensive. In the silicone industry chain, CDMO business is expected to grow substantially. According to the industry, many foreign brand companies are leading the way in this field, and the domestic use of superior raw material production has helped foreign brands achieve production outsourcing mode (CDMO) for nearly half of their products.

Industry institutions predict that the demand for overseas organic silicon orders from 2022 to 2025 will continue to be strong. In October, the export volume of organic silicon products reached 31,200 tons, an increase of 57% from the same period last year, mostly in the production outsourcing model (CDMO). According to sources, a brand company yesterday received a new batch of purchase orders from a large construction company in the United States, amounting to 200 million yuan. In the past twelve consecutive months, a total of 105 million yuan of orders for related products from this customer have been received. The purchase order received this time is a customized development and production (CDMO) service order related to the multi-functional innovative sealant.

With the development of the global silicone industry, CDMO is entering an era of rapid growth, from the previous CMO based on single-capacity output to the CDMO based on technology output. It is estimated that the scale will reach 30 billion in 10 years, with a compound annual growth rate of approximately 15.73%.