My country has become the world's largest consumer and exporter of silicones, and demand continues to grow. By the end of 2020, the domestic DMC production capacity was about 1.69 million tons, a year-on-year increase of 6.3%. The cumulative output for the year was 1.34 million tons, a year-on-year increase of 11.5%. The industry operating rate was about 80.0%. The apparent consumption of organic silicon in China was 1.249 million tons, a year-on-year increase of 11.0%. The five-year compound annual growth rate since 2015 has been 11.1%. In the first half of 2021, the domestic DMC production was about 660,000 tons, a year-on-year increase of 20.0%, and the export was 161,000 tons, a year-on-year increase of 38.1%. 500,000 tons, a year-on-year increase of 10.7%.

In terms of import and export volume, my country's organic silicon DMC import volume will be 152,000 tons in 2020, and its export volume will be 243,000 tons. In the past ten years, the average annual compound growth rate of export volume has reached 12.5%. Since 2014, my country has transformed into a net export of organic silicon. China, mainly benefiting from the continuous expansion of production capacity in the domestic silicone industry and the improvement of product performance. In the future, as my country's silicone industry continues to scale and high-end, the effect of import substitution will become more obvious, and the right to speak in the international market will continue to increase.

In recent years, the domestic organosilicon industry has been steadily expanding its production capacity, with a high regional concentration of production capacity. Before 2010, the domestic silicone industry developed rapidly, and the scale of production capacity expanded rapidly, but the structural excess of low-end production capacity was serious, and the overall capacity utilization rate was low. The improvement of the level, the high-quality development of the domestic silicone industry. In 2020, the domestic organosilicon production capacity and output (in terms of DMC) will be 1.69 million tons and 1.34 million tons respectively. Despite the impact of the new crown pneumonia epidemic in the first half of the year, the market demand is strong in the second half of the year. In 2020, the capacity utilization rate of my country's silicone industry was 79.3%, a significant increase of 37 pct compared with 2010. my country's organic silicon production capacity is mainly distributed in East China, North China, and Central China, accounting for 65%, 13%, and 10% of production capacity, mainly close to raw material supply and downstream market consumption.