Price trend

The domestic phenol market continued to decline. According to the market analysis system of SunSirs, the negotiated price of phenol in East China had dropped from 7,050 to 6,450 RMB/ton, and the national market average price had dropped to 6,550 RMB/ton, a decrease of 9.28% during the week.

Analysis review

The factory had centrally lowered prices, with Sinopec North China implementing a price of 6,600 RMB/ton and Sinopec East China implementing a price of 6,600 RMB/ton.

The demand was poor, and terminal factories entering the market were mostly just in demand. Holders had a high intention to sell goods at a discount, falling below 7,000 RMB/ton in the East China region. The East China region had negotiated a broad downward value of 6,400 RMB/ton, and there was some increase in market inquiries near Friday, intermediary traders had also participated, and the market had rebounded, but the improvement in actual orders was not significant. Although the decline had slowed down, there was still a lack of support for the upward trend.

The operating rate of domestic phenolic ketone enterprises was adjusted. Jiangsu Hengrui's 650,000 ton/year phenolic ketone plant was shut down for maintenance on May 30th, and Mitsui's 400,000 ton/year and Lihuayi's one unit resumed restart on the 29th. Zhejiang Petrochemical's Phase II 650,000 ton/year phenolic ketone plant will be restarted in June.

Market outlook

It is expected that the domestic phenol market will still struggle to improve next week. Domestic resource supply is expected to increase, but the losses of phenolic ketone enterprises have increased. However, downstream terminal enterprises are still mainly in demand, and overall bearish factors still dominate. The upward pressure of the market is relatively high, and the focus in June is still on demand.

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