While “Liquid Glass” captures consumer attention, the real foundation of the silicone industry in industrial and new-energy markets lies in two fast-growing, high-end products: PV module sealants and battery encapsulation gels. By December 2025, these segments have become the most resilient growth drivers of the silicone market.
According to the China Adhesives and Tape Industry Association, shipments of PV-grade silicone sealants rose 52% year-on-year in the first three quarters of 2025, while thermal/ flame-retardant battery silicones grew 68%. Leading suppliers such as Huitian, Sibo, and Jitai are running at full capacity, with orders extending into Q2 2026.
Why the surge?
PV boom: Global new PV installations are expected to exceed 600 GW, with double-glass modules surpassing 50% penetration. Each 1 GW requires roughly 800–1,000 tons of high-performance silicone sealant that standard products cannot replace.
EV safety upgrades: To manage thermal runaway, automakers are adopting silicones with high thermal conductivity (≥2.0 W/m·K), insulation, and reworkability. Premium EVs use 3–5 kg of silicone—over 7× that of ICE vehicles.
These products feature high technical barriers, long qualification cycles (1–2 years), and strong customer lock-in. Once approved by leaders like CATL, LONGi, and Sungrow, they deliver stable margins of 35–45%, far above commodity DMC (<15%).
Industry consensus is clear: amid overcapacity and price volatility, only exposure to PV, energy storage, and EVs can secure long-term growth. “Liquid Glass” brings buzz—but PV and battery silicones are the true anchors of the industry’s future.
