Silica Gel Price Trend and Forecast

Silica Gel Regional Price Overview

Get the latest insights on price movement and trend analysis of Silica Gel in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Silica Gel Price Trend for the First Half of 2025

In the first half of 2025, Silica Gel prices followed a mixed trajectory across major regions, largely shaped by construction sector trends, supply dynamics, and economic sentiment. In North America, prices softened due to a downturn in construction activity and sluggish infrastructure spending.
 

Silica Gel Price Chart

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A drop in cement and clinker production signaled weak demand, which translated into reduced consumption of Silica Gel. Despite the weak market, supply remained steady as imports held firm and manufacturers avoided oversupply by managing inventories cautiously.

In the Asia-Pacific region, the market showed more activity. China witnessed steady to rising Silica Gel prices as civil engineering and infrastructure projects gained momentum after the Lunar New Year. A sharp rise in construction activity, particularly in advanced factory and science park developments, helped support demand. However, Indonesia’s market remained quiet, with low project activity and budget constraints limiting procurement, even as import prices rose due to higher global costs.

Europe saw an overall decline in Silica Gel prices, driven by weak construction and industrial demand. Although there was a brief price uptick in Germany due to supply tightness and higher import costs, overall consumption stayed slow. The region continued to struggle with economic uncertainty, high production expenses, and cautious market sentiment.

Analyst Insight

According to Procurement Resource, Silica Gel prices may trend upward in the second half of 2025 as construction activity picks up in Asia and market confidence begins to return in parts of Europe.
 

Silica Gel Price Trend for the Second Half of 2024

In the second half of 2024, the price trend of Silica Gel showed mixed movements across key regions, shaped by shifting dynamics in the Sodium Silicate market, its primary raw material. In North America, Silica Gel prices initially rose in Q3, mainly due to supply shortages caused by hurricane-related plant shutdowns and strong construction activity. However, by Q4, prices started to decline, following the downward trend in Sodium Silicate. The construction and cement sectors weakened due to adverse weather and slower manufacturing output, lowering demand for Silica Gel in desiccant and industrial applications.

In the Asia-Pacific region, particularly in China, Silica Gel prices remained fairly stable throughout H2. Q3 saw consistent pricing amid port congestion and a sluggish construction sector, while Q4 brought a slight softening in demand due to lower export activity and weak regional markets. Even though the manufacturing sector began recovering towards year-end, it wasn’t strong enough to significantly influence Silica Gel prices upward.

In Europe, the market remained under pressure in both quarters. Q3 experienced a sharp drop in Sodium Silicate prices due to reduced construction activity and import competition, which influenced Silica Gel prices to fall. Q4 continued this trend, as political uncertainty and a deeper recession in Germany’s construction sector further reduced demand. Oversupply of materials added to the price pressure.

Analyst Insight

According to Procurement Resource, Silica Gel prices may remain under pressure due to weak demand across construction and manufacturing sectors, though recovery signs in APAC could offer some stability.
 

Silica Gel Price Trend for the First Half of 2024

During the first half of 2024, the global market for silica has seen a notable price decline, primarily driven by a significant slowdown in the downstream construction industry and high interest rates. The once-booming property sector in Europe, supported by previously low interest rates, has suffered as rapidly increasing rates and rising construction costs have led to project cancellations and company liquidations. This prolonged slump in construction has adversely affected silica producers, resulting in weakened demand and an oversupply in the market.

The increase in production capacity by European silica manufacturers has exacerbated the situation, leading to a supply glut that has further depressed prices. Additionally, reduced input costs for producing silica have contributed to the downward trend. Despite a slight quarterly increase in GDP growth, Germany’s overall economic performance remains sluggish, with persistent structural weaknesses hindering a robust recovery.

The construction sector’s struggles, highlighted by a substantial reduction in building material production and a sharp decline in new orders, have further pressured silica prices. As a result, the market is anticipated to continue its downtrend unless a surge in new orders can reverse the current bearish sentiment. The combination of a weak construction sector, potential oversupply, and a faltering economy has led to a sustained decrease in silica prices throughout the first half of 2024.

Analyst Insight

According to Procurement Resource, the price of Silica Gel is expected to struggle with the depreciating market dynamics of the downstream industries and the weak stance of the global trading sector.
 

Silica Gel Price Trend for the Second Half of 2023

Silica gel is essential in moisture-sensitive industries like medicines, electronics, and food packaging because of its capacity to keep dry in small areas. Also, its non-toxic properties and stability in a broad temperature range increase its employability in various industries. The market for silica gel is anticipated to be strong, given the growing emphasis on product quality and preservation, particularly in sectors where moisture control and goods preservation are required.

In the latter half of 2023, initially, the fluctuating patterns in demand and the persistent sluggishness observed in downstream industries had a detrimental impact on the silica gel price trajectory. This downward trajectory was further exacerbated by the deceleration in the economic growth of China and various other Asian nations, posing challenges not only for the production sector but also for traders.

However, towards the year's end, the fluctuations began to stabilize, with a modest uptick in demand during the winter holiday season in the consumer sector. Moreover, there was a resurgence in automotive and construction activities across Asian countries during the final quarter of 2023. Nonetheless, the positive effects of this resurgence were only discernible towards the end of the year.

Analyst Insight

According to Procurement Resource, the price trend of Silica Gel is estimated to showcase slight stability in the forthcoming quarters as the shifting preferences of the consumer sector and rise in procurement rates of downstream industries.
 

Silica Gel Price Trend for the the First Half of 2023

Silica Gel is the amorphous form of silicon dioxide or silica, primarily used in detergents, cosmetics, painting, and coating industries.  In the first half of 2023, the Silica Gel prices exhibited mixed price trend; with a strong start at the beginning of January’23, the market showed positive momentum as the consumer sectors were growing. But as the inventory movement improved and new supplies kept pouring in, the market moved towards stability as the supply-demand dynamics started improving in moderation.

However, in the second quarter, overfilled inventories dominated other factors, and a dip was observed in the price trend owing to high supplies and uninterrupted demands. However, the global Silica Gel markets exuded stability in general throughout the said period.

Analyst Insight

According to Procurement Resource, given the stable supply-demand dynamics, the price trend for Silica Gel are likely to fluctuate in a narrow range in the upcoming months.

Procurement Resource provides latest prices of Silica Gel. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.