Plastic, Silicone, Steel, and Others: Updated China Raw Materials Costs (late Dec ’25)

ABS (AG-15E1) +1.27% monthly change

Toward the month-end, ABS prices fluctuated within a narrow range, with transactions mainly driven by immediate demand.

• Drivers
  Upstream cost support was evident, but sustained downstream buying interest remained insufficient. Buyers continued to resist higher prices, limiting the market’s ability to move upward despite firmer inputs.
• Outlook (early January)
  ABS prices may see slight upward fluctuations supported by costs and regional replenishment, but overall stability is expected to remain the dominant trend.

Silicone (110) +1.48% monthly change

Toward the month-end, domestic 110 silicone rubber prices were relatively stable, with only small fluctuations observed.

• Drivers
  Upstream DMC prices remained elevated, keeping cost pressure high. Downstream inventories declined slightly, but stocking willingness stayed low. Buyers and sellers remained cautious, resulting in a stalemate-driven market.
• Outlook (early January)
  Silicone prices are expected to remain generally stable with minor fluctuations, supported by costs but constrained by uneven demand.

Zinc Alloy (Zamak5) +2.35% monthly change

Toward month-end, electrolytic zinc prices continued to adjust at relatively high levels, with average prices edging lower despite some late support.

• Drivers
  Market sentiment remained cautious amid macro uncertainty, and confidence in demand-side recovery was limited. Supply-side factors continued to provide partial support, preventing sharper declines.
• Outlook (early January)
  With the New Year holiday period ending, the market is expected to focus on post-holiday direction, with cautious and range-bound trading likely.

Aluminum Alloy (ADC 12, Jiangsu) +4.36% monthly change

Toward the month-end, aluminum prices continued to fluctuate within a high range.

• Drivers
  Positive sentiment supported elevated prices through most of the month, but momentum softened slightly toward the end as caution increased.
• Outlook (early January)
  Prices may attempt short-term gains before settling back into range-bound fluctuations, suggesting a high but less stable pricing environment.

Paper for Color Box (157 g double-coated) 0.00% monthly change

Toward the month-end, the double-coated art paper market remained broadly stable, with the average price slightly lower.

• Drivers
  Supply-side pressure persisted, and mill profitability remained under strain. Publishing orders progressed steadily, but broader social demand showed limited improvement. Year-end cash recovery pressure on distributors continued to cap price increases.
• Outlook (early January)
  The market is expected to remain stable overall, with steady production levels and no meaningful improvement in demand anticipated.

Stainless Steel (304/2B, 0.4 mm, Taiyuan) +1.74% monthly change

Toward month-end, stainless steel prices continued to adjust amid cautious market sentiment.

• Drivers
  Both supply and demand remained relatively weak, prompting competitive pricing as sellers sought to stimulate transactions.
• Outlook (early January)
  Prices are likely to fluctuate within a narrow range, with limited upward momentum and continued cautious trading behavior.

Battery Material (Lithium Cobalt Oxides) +6.70% monthly change

Toward month-end, cathode material prices continued to rise, while ternary precursor prices increased slightly.

• Drivers
  Lithium carbonate prices remained on an upward trajectory, and upstream raw materials stayed broadly bullish. Buyers increasingly favored lithium iron phosphate (LFP) due to concerns over cobalt price volatility, while production schedules remained high and supply-demand balance tight.
• Outlook (early January)
  The market is expected to remain firm, with potential upward pressure on processing fees. Policy developments and bidding results from major downstream players will be key factors to watch.

Buyer Takeaways – December Outcomes → January Actions

Polymers: stable December closes, selective January leverage
December closed with epoxy resin and ABS showing only modest monthly movement, reflecting cautious downstream demand and firm but contained cost support. Heading into January, buyers still have room to negotiate on spot volumes and staged releases, particularly for epoxy resin and ABS grades. Silicone remains the exception: December’s cost pressure from elevated DMC prices has carried through, so January sourcing should prioritize flexible commitments and short quotation validity rather than locking in long-term volumes at current levels.

Silicone: high December costs, disciplined January commitments
Silicone prices ended December supported by upstream costs but constrained by uneven demand. For January, buyers should avoid assuming continued upward momentum and instead benchmark multiple suppliers, monitor DMC movements closely, and keep order sizes conservative until clearer demand signals emerge.

Metals: elevated December baselines, tactical January timing
Aluminum alloy prices finished December at relatively high levels, while zinc alloy and stainless steel remained range-bound. In January, this points to tactical purchasing: avoid chasing early-month strength, time orders around short-term dips, and use softer stainless steel conditions to negotiate on fabricated or finished metal parts.

Packaging: flat December performance, cautious January planning
Double-coated paper prices closed December unchanged, with weak demand continuing to cap upside. In January, buyers can maintain short PO cycles, solicit multiple quotes, and explore volume-for-stability discussions, as suppliers may prioritize order continuity over price increases.

Battery materials: firm December close, upward January risk
Battery material prices ended December on a firm footing, supported by lithium carbonate and energy storage demand. Moving into January, buyers should review BOM cost assumptions and quotation validity periods, as modest further increases remain plausible, particularly for materials linked to lithium pricing and energy storage applications.