# Sodium silicate: Cycles

A steady business shaken by Europe's gas shock

Source page: https://www.materialinsights.org/chemicals/sodium_silicate/cycles/

A steady business shaken by Europe's gas shock What this tab covers How its prices and margins move: past booms and busts with price levels, the spread or margin that the industry watches, the drivers of the cycle and the metrics to track.

Sodium silicate is a steady, regional business with no public price series. Prices are cost-plus and move with soda ash and energy. European producers saw costs jump with gas prices in 2022 and passed them on with a lag. Demand is defensive (detergents, paper) with growth from tyres. The best visible indicators are soda ash prices, European gas prices and the results of producers such as Qemetica and PQ.
 The spread to watch **Silicate price minus 0.4 x soda ash minus fuel**

Conversion margin for furnace producers; not published.

#### Booms and busts

1. 2021-2022

European gas and soda ash prices rose sharply, raising furnace costs; producers added energy surcharges (indicative).

not published for silicate; soda ash and gas price rises are covered in the soda ash tile

2. 2023-2024

Energy costs eased and Chinese soda ash capacity grew, lowering input costs (indicative).

not published

3. 2024-2029

Market value expected to grow from $5.50 billion to $6.83 billion, led by Asia Pacific detergents and precipitated silica (MarketsandMarkets).

not published

#### What drives the cycle

- **Soda ash price.** The largest cost item in the furnace route.
- **Energy prices.** Furnaces burn 4-6 GJ per t; European gas spikes raise costs.
- **Tyre production and silica loading.** Precipitated silica follows tyre output and EU tyre labelling for rolling resistance.
- **Detergent formulation.** Powder versus liquid detergent shifts silicate demand, especially in Asia and Africa.

#### Metrics to track

| Metric | Why it matters | Where to track it |
|---|---|---|
| **Soda ash prices (China, US export)** | Main input | SunSirs; USGS; ICIS |
| **TTF gas price** | European cost | ICE Endex |
| **Precipitated silica capacity additions** | Main demand driver | Company announcements (Evonik, Solvay, PPG, Chinese makers) |

## Other sections

- [Summary](https://www.materialinsights.org/chemicals/sodium_silicate/index.md)
- [Overview](https://www.materialinsights.org/chemicals/sodium_silicate/overview/index.md)
- [Correlation](https://www.materialinsights.org/chemicals/sodium_silicate/correlation/index.md)
- [Production route](https://www.materialinsights.org/chemicals/sodium_silicate/routes/index.md)
- [Production](https://www.materialinsights.org/chemicals/sodium_silicate/production/index.md)
- [Feedstocks](https://www.materialinsights.org/chemicals/sodium_silicate/feedstocks/index.md)
- [Trading](https://www.materialinsights.org/chemicals/sodium_silicate/trading/index.md)
- [Movement](https://www.materialinsights.org/chemicals/sodium_silicate/movement/index.md)
- [Regulation](https://www.materialinsights.org/chemicals/sodium_silicate/regulation/index.md)
- [Characteristics](https://www.materialinsights.org/chemicals/sodium_silicate/characteristics/index.md)
- [Emissions](https://www.materialinsights.org/chemicals/sodium_silicate/emissions/index.md)
- [Relationships](https://www.materialinsights.org/chemicals/sodium_silicate/links/index.md)