Seasonal Demand Drives-up Silicon Tetrachloride Prices in the US and Europe
- 21-Mar-2025 6:00 PM
- Journalist: Jacob Kutchner
Silicon Tetrachloride prices continue their incline pattern in the European (UK and Germany) and the US markets, primarily influenced by the rising demand from the downstream industries, especially automotive and Electronic, as Silicon Tetrachloride is used in manufacturing silicon wafers which is a key component in electronic devices.
The prices of Silicon Tetrachloride rose in the UK and US markets due to the upward trend of prices in Germany as it is an exporting country for the UK and US.
In the US market, the automobile trend experienced a downward trend in February as its sales were down 2.3% due to additional tariffs on Mexico and Canada whereas according to the seasonal trend, market experts anticipate the automobiles will show significant growth in upcoming months, which may affect the consumption of Silicon Tetrachloride.
As the US Market is highly influenced by seasonal trends, the electronic sector, the major downstream industry of silicon tetrachloride also lies or follows this seasonal trend. As technology evolves and consumer preferences shift, these fluctuations are expected to continue shaping the electronic market.
In the upcoming months or the second quarter in the US which is a summer season, there will be a boost in demand for electronic devices. This seasonal boost is typically driven by rising consumer spending, back-to-school preparation and summer sales events that encourage purchases of gadgets and personal electronics. Through these activities, the demand for silicon tetrachloride likely to rise.
Simultaneously, Germany also experienced the same downward trend in the Automotive sector as the US. In Germany, automobile sales declined by 6.4% compared with the previous month whereas in March the trend will vary following the seasonal trend. In Germany, the upcoming months of Spring and summer season come in when the electronic sector shows a great boost in demand like in the US.
At the same time, the UK also follows the same trends of demand from the downstream industries as Germany.
Besides this, In March 2025, freight charges from Europe to the USA experienced fluctuations influenced by the imposed tariffs by Trump. In the UK also road freight shows fluctuation due to the seasonal demand variations. Freight charges impact the prices of silicon tetrachloride as Germany exports it to the US and UK markets. Rising logistics costs, driven by fuel price fluctuations, shipping route disruptions, and port congestion, increase transportation expenses.
ChemAnalyst forecasts that in the short term, the price direction of Silicon tetrachloride will be bullish as it is influenced by the rising demand from the downstream industries, especially the electronics and automotive sectors. The seasonal trend also impacts the silicon tetrachloride prices which noticeably changes the prices.