Silica is widely used and domestic high-end products rely on imports.

Silica is an inorganic compound with the chemical formula SiO2. It is a hard, brittle, colorless and transparent solid that is insoluble in water. It has the characteristics of stable properties, high temperature resistance, corrosion resistance, and high insulation.

The upstream of the silica industry chain is the supply of raw materials such as soda ash, sodium silicate, quartz sand, sulfuric acid, etc.; the midstream is the production and production of different types of silica, mainly including precipitated silica and fumed silica. Precipitated silica can be divided into two types: high-dispersion type and ordinary type. Most of the silica in the domestic market is precipitated silica. Downstream, it is used in different fields according to different product types. Precipitated silica has relatively high performance. It has a strong price advantage and is widely used in rubber, pesticides, tires, feed, papermaking, toothpaste, coatings, inks and other fields. Fumed silica has strong stability, thickening, dispersion, etc., and is widely used in silicon dioxide. Rubber, electronics, medicine, construction, automobiles, cosmetics and other fields.

According to the “China Silica Industry Market In-depth Research and Development Prospects Forecast Report 2023-2028” released by the Industrial Research Center, Silica has excellent properties and a wide range of applications, covering all areas of national life. As my country’s economy continues to develop, national living standards continue to improve, and industries such as industry, agriculture, and manufacturing continue to develop, the demand for silica will maintain a growth trend, and the market size will also continue to expand. In 2022, my country’s silica market will exceed 13 billion yuan.

High-end silica belongs to the field of fine processing. The initial investment in production equipment is relatively large. The product requires high financial and technical support from research and development to production. At the same time, the product needs to be produced and processed through a variety of processes. The temperature and proportion during the production process , stirring speed, etc. will have a certain impact on product quality, so there are high financial, technical and talent barriers. In addition, different downstream products have different requirements for silica. Downstream manufacturers are highly dependent on brands, making it difficult for new entrants to open up the market.

At present, there are many domestic and foreign players in my country’s silica market, and the industry competition is fierce. Due to the low technical content of low-end silica products and low production process requirements, my country’s silica products are mainly concentrated in the mid- to low-end fields at this stage. The market shows an oversupply of low-end products and a shortage of high-end products, which is not conducive to the sustainability of the industry. Continuous development. The main domestic silica production companies include Quechen Silicon Chemical Co., Ltd., Shandong Lianke Technology Co., Ltd., Zhuzhou Xinglong New Materials Co., Ltd., Sanming Fengrun Chemical Co., Ltd., Fujian Yuanxiang New Materials Co., Ltd., etc.

Industry analysts said that silica is widely used, and with the continuous development of my country’s economy, market demand will continue to grow in the future. At present, domestic high-end silica products mainly rely on imports, and there is huge room for domestic substitution in the market. Domestic manufacturers need to increase R&D and investment, improve production technology, improve production processes, optimize product performance, and promote the industry to develop in a high-quality direction.