DMC Prices Rise to 16,500–16,800 RMB/Ton; 35% Production Cu

 

Keywords: DMC, price surge, production cut, tight supply, Hongye Silicone Summary: Domestic DMC prices increased 300 RMB/ton today to 16,500–16,800 RMB/ton; the 35% emission-reduction production cut will continue through August, keeping supply tight. On May 11, DMC mainstream offers rose again by 300 RMB/ton, hitting a new 2026 high. The May 9 industry meeting confirmed extending the 35% capacity reduction from June to August, limiting operating rates at 65%–70%. Spot cargo is extremely scarce, with most producers fully booked through mid-July. Import DMC arrivals dropped 20% MoM, and East China port inventories hit a 7-month low. Market participants expect DMC to stay above 16,000 RMB/ton until late August. Hongye Silicone, with secured long-term contracts, maintains stable production of mold silicone, electronic potting compounds, and food-grade LSR despite spot volatility.