New environmental regulations in overseas regions have tightened, and the export structure of dimethylsilicone oil is accelerating its optimization and upgrading.

Hits: 819 img

New environmental regulations in overseas regions have tightened, and the export structure of dimethylsilicone oil is accelerating its optimization and upgrading. 

1.Overseas regulations on chemical management are becoming stricter, and export product categories are facing a comprehensive compliance screening.

Recently, many countries in Europe and the United States have successively updated their regulations on chemical management, focusing on restricting the circulation of PFAS (per- and polyfluoroalkyl substances) fluorine-containing compounds and high-ring organic silicon raw materials. Ordinary dimethyl silicone oil has a molecular structure without fluorine and is not within the restricted list, but some modified fluorine-containing silicone oils have been included in the control scope. Many export orders have been delayed or inspected due to formulation issues. Overseas buyers have raised the inspection standards for silicone oil, setting stricter indicators for volatile matter, ring residue, and heavy metal impurities. The overseas orders for low-end crude processed silicone oil have significantly decreased, and compliant high-purity products have become an essential export requirement. 

2. Traditional low-end exports have cooled down, while high-purity silicone oil has seen an upward trend in overseas orders against the backdrop of the new regulations.
In the past, the main export products were low-end silicone oil for general industrial use, which had low profits and was easily restricted by new regulations. However, in the past six months, orders for low-ring body, food-grade, and medical-grade dimethyl silicone oil have steadily increased overseas. Chemical and pharmaceutical manufacturers in Southeast Asia, the Middle East, and Latin America have continuously increased their purchase volumes. Domestic high-purity silicone oil, with its stable quality and cost-effectiveness, has gradually taken over the overseas middle-to-low-end import market. The export focus has shifted from the sale of raw materials to the output of refined finished products, and the profit margin from overseas sales has continued to increase. 

3. The export supporting standards have been improved, and domestic silicone oil has established a standardized foreign trade system.
The domestic industry has uniformly sorted out the classification and export regulations of silicone oil. Corresponding quality inspection standards have been customized for different overseas regions, and compared with international certification requirements such as EU REACH and US FDA, product qualification filings have been completed in batches. The storage and logistics processes have optimized the sealing storage and transportation plan for silicone oil, reducing the problems of deterioration and contamination during long-distance transportation and reducing cross-border losses. After the implementation of the standardized system, the efficiency of foreign trade clearance has improved, trade disputes have been significantly reduced, and it has helped the products to enter the international market stably and long-term. 

4. The market layout is shifting to emerging regions, expanding diversified export channels
Under the circumstances where the barriers to entry in the European and American markets have risen, the industry is accelerating the exploration of emerging markets in Southeast Asia, Central Asia, and South America. The local industries such as daily chemicals, new energy, and light industry have developed rapidly, and the demand for silicone oil has been increasing year by year. Enterprises have reduced their reliance on a single European and American market and have established multi-regional distribution networks. They are leveraging the industrial development dividends of emerging economies to absorb high-quality production capacity. The overall demand for the overseas market still maintains a steady growth.

Recommend

    Online QQ Service, Click here

    QQ Service

    What's App