Elkem, one of the leading players in the global silicon industry, has announced that it is making major changes to its business structure, effective from 1 July 2020. The company is merging together numerous existing business units to form just three large company divisions: Elkem Silicones, Elkem Silicon Products and Elkem Carbon Solutions. The stated intention is to sharpen commercial focus, improve operational excellence and increase economies of scale.
Roskill estimates that Elkem was the world’s fourth largest producer of silicon metal in 2019 and the fifth largest producer of ferrosilicon. The new Silicon Products division will fully re-unite Elkem’s silicon metal and ferrosilicon operations within the same business unit for the first time in more than two decades. Elkem had separated its ferrosilicon-to-foundry, ferrosilicon-to-steel and silicon metal businesses in stages during the 1990s and early-2000s. Elkem has several silicon metal and ferrosilicon plants in its home country of Norway, as well as smelters in Iceland, Canada, Paraguay and China.
When Elkem was purchased by China BlueStar in 2010, the new group became a major player in the global silicone market, by virtue of BlueStar’s silicone business in Europe and China. For some time, BlueStar’s silicone plants have operated under the Elkem brand name; the formation of the new Elkem Silicones business unit completes this integration. Roskill estimates that Elkem is now the world’s fifth-largest integrated silicone producer, with siloxane plants in both China and France. Elkem is also a leading producer of electrode paste for ferroalloy smelters, and this business will be the centrepiece of the new Carbon Solutions division.
Roskill will publish the first update to its Silicon & Ferrosilicon: Outlook to 2029, 17th Edition report in July, outlining the market developments of these products and their end use applications. For more details or to subscribe, click here.