Latest developments from Wacker Chemie

On a recent media day, Christian Hartel, President and CEO of Wacker Chemie AG in Germany, said in an exclusive video interview with reporters from International Finance News that “the demand for chemical materials related to the sustainable development of energy will increase significantly in the next ten years. Growth, such as the application of silicone products in electric vehicles, cable accessories, the application of polysilicon in solar photovoltaic cells, and environmentally friendly building materials."

Boosted by the strong demand for organic silicon and other materials, Wacker Chemie’s sales in the third quarter of this year increased by 40% compared with the same period of the previous year. At about 6 billion euros, profits are expected to be between 1.2 billion and 1.4 billion euros.

In response to the recent electricity curtailment measures adopted by the Chinese market to limit corporate energy consumption, WACKER has recently raised the price of silicone products. In this regard, Christian Hartel said that energy limitation has had a significant impact on the supply of raw materials and prices. Although we have to pay higher prices, fortunately, WACKER is still able to purchase the required raw materials. "At present, customers can accept the current price increase, but it also depends on how far the price will increase in the future."

In order to expand production capacity in the Chinese market, WACKER recently announced the acquisition of 60% of Shandong Silicon Technology, which has become another case for a foreign-funded chemical company to deepen its localization strategy.

Paul Lindblad, President of WACKER Greater China, told reporters: “In my opinion, a relatively long-term solution lies in the reform of electricity prices. Value manufacturers.” He believes that this will also promote the development of the chemical industry, such as increasing the demand for polysilicon.

Christian Hartel said bluntly: WACKER is full of confidence in the future development of the Chinese market, and will continue to invest in the region, and will continue to support China's industrial upgrading and sustainable development with innovative products and solutions.