Price trend

According to the Commodity Market Analysis System of SunSirs, sulfur prices in East China continued to rise in late January. On January 30th, sulfur prices were at 933.33 RMB/ton, an increase of 2.56% compared to 910.00 RMB/ton on January 21st, and a decrease of 12.50% from the beginning of the month.

Analysis review

In late January, the sulfur market improved. The equipment in Shandong region was operating normally, and the market supply of goods was stable. Downstream factories had good pre holiday stocking, and their purchasing enthusiasm had increased. Manufacturers had a positive attitude, and their prices had been raised. At the same time, due to the impact of rain and snow weather, downstream procurement followed up actively. In addition, the rise in port prices had boosted the spot market, and the sulfur market was relatively stronger and rising. As of the 30th, the mainstream price of solid sulfur in refineries in Shandong region was around 930-950 RMB/ton; The mainstream price of liquid sulfur was between 880-1,030 RMB/ton.

The downstream sulfuric acid market first fell and then stabilized. On January 30th, the average domestic sulfuric acid price was 187 RMB/ton, a decrease of 9.66% compared to the price of 207 RMB/ton on January 21st. On site enterprises had stable production, sufficient market supply, average downstream demand, and followed up on stocking as needed. The market trading atmosphere was weak, and manufacturers were actively shipping. The sulfuric acid market was observing and consolidating.

The downstream ammonium biphosphate market had weakened and decreased. On January 30th, the average market price of 55% powdered ammonium biphosphate was 3,143 RMB/ton, a decrease of 2.39% compared to the price of 3,220 RMB/ton on January 21st. The supply of ammonium biphosphate in the market had contracted, but downstream demand had remained weak, with weak follow-up on new orders, insufficient market transactions, and significant sales pressure from manufacturers. In addition, the decrease in raw material prices had resulted in weak cost support, leading to a continued downward trend in ammonium biphosphate prices.

Market outlook

According to sulfur analysts from SunSirs, as the Spring Festival holiday approached and the market transaction atmosphere was mild, sulfur companies were actively shipping and demand support was still acceptable. Considering the slowdown in manufacturer inventory and downstream stocking in the later stage, it is expected that the short-term sulfur market will be wait-and-see and consolidated, and specific attention will be paid to downstream follow-up.

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