The domestic substitution of two-component liquid silicone rubber has been stuck on the equipment side for the past few years. The technical barrier of LSR injection molding machine is extremely high, and it has long been monopolized by a few overseas manufacturers. A single device can cost over one million yuan, and the delivery time can be as long as one year. But since 2025, domestic LSR injection machines have achieved mass delivery, and equipment bottlenecks are loosening. The real tough battle has shifted to the raw material side.

The core raw materials of LSR are ethylene based silicone oil and hydrogen containing silicone oil, and the purity of these two adhesives directly determines the uniformity of crosslinking and product performance. Electronic grade LSR requires chloride ions to be below 0.5 ppm and residual ring content to be below 200 ppm. Any trace impurities can cause incomplete local curing or electrical performance failure. At present, the import dependence of high-end LSR raw materials still exceeds 60%, which is the most difficult bone for domestic substitution.

The good news is that the breakthrough has already begun. Several domestic silicone companies have built electronic grade vinyl silicone oil and hydrogen containing silicone oil production lines, with hydrogen content control accuracy of ± 0.01% for some products and residual ring residue reduced to below 150 ppm, which has been verified by downstream top customers. At the same time, the localization of platinum catalysts is also accelerating, with catalytic efficiency approaching import levels and costs reduced by about 30%.

The driving force on the market side is equally strong. By 2025, the revenue of China's electronic information manufacturing industry will exceed 17 trillion yuan, the production of new energy vehicles will exceed 13 million units, the scale of the medical device market will continue to expand, and the downstream demand for LSR is growing at an average annual rate of 12%.

Equipment is no longer the ceiling, raw materials are. Whoever first overcomes the production challenge of electronic grade adhesives will have the ultimate ticket to LSR's domestic substitution.

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