Driven by both greenification and high-endization, the ethyl silicone oil industry has entered a new stage of high-quality development. 

1.Policy support drives the green transformation of the industry
Driven by the "carbon neutrality" goal and environmental protection policies, the ethyl silicone oil industry is accelerating its green upgrade. The Ministry of Industry and Information Technology has included continuous catalytic synthesis and closed-loop recovery technology for by-products in the clean production promotion directory. It requires new projects to reduce energy consumption by 12.7% compared to the industry average. The policies guide enterprises to eliminate wasteful processes, adopt environmentally friendly raw materials and closed-loop production models, reduce energy consumption and waste emissions, and promote the compliant development of the industry. 

2. The demand for high-end products is strong, and the electronic and electrical sector has become the core growth driver.
The trend of upgrading of ethyl silicone oil is significant. The electronic and electrical sector has risen to become the largest application segment, accounting for 38.6% in 2024. In advanced semiconductor packaging, high-viscosity ethyl silicone oil is suitable for filling the bottom of chips to ensure the stability and long-term reliability of the packaging. At the same time, it is widely used in Mini-LED backlight modules and 5G base station cooling modules, with a year-on-year growth of 13.6% in market demand. In addition, the demand in personal care and high-end lubricants has steadily increased, promoting the optimization of the industrial structure. 

3. Technological Innovation Breakthrough, Building Core Competitiveness of the Industry
Technological innovation has become the core driving force for the development of ethyl silicone oil industry. The industry has broken away from the traditional sulfuric acid catalytic process and adopted ion exchange resin catalysts, achieving clean production without any waste emissions. In the high-end product field, the combination of molecular distillation and vacuum distillation process enables ppm-level purity control, meeting the strict requirements of semiconductor, medical, etc. At the same time, technological research and development in vinyl end-capping and long-chain alkyl modification has expanded product functions and application scenarios. 

4. Domestic substitution accelerates, and industrial scale continues to expand
Previously, some high-end ethyl silicone oils relied on imports, and the "difficulty in obtaining one type of oil" hindered the development of the domestic industry. In recent years, domestic enterprises have increased their research and development investment, broken through technical bottlenecks, and promoted the domestic substitution of high-end products. The global market size of ethyl silicone oil is expected to reach 473 million US dollars in 2025, and is projected to increase to 786 million US dollars in 2035. In the domestic market, benefiting from the development of industries such as new energy and semiconductors, the compound growth rate of ethyl silicone oil demand remains at 17%-21%, and the market size is expected to exceed 3.5 billion yuan in 2030.