Price trend

According to the commodity analysis system of SunSirs, the price of soda ash had remained stable this week. The average price of soda ash in the market remained at 2,090 RMB/ton from the beginning of the week to the weekend, an increase of 6.63% compared to the same period last year.

On June 30th, the commodity index of light soda ash was 107.18 points, unchanged from the previous day, a decrease of 43.32% from the highest point in the cycle of 189.10 points (2021-11-07), and an increase of 69.72% from the lowest point of 63.15 points on November 18th, 2015. (Note: The cycle refers to the period from September 1st, 2011 to present)

Analysis review

According to the commodity analysis system of SunSirs, the price of soda ash had remained stable this week. On the supply side, the utilization rate of production capacity was relatively high, the inventory of soda ash was sufficient, and the production and sales of enterprises were weak; On the demand side, downstream enthusiasm was not high, and demand was the main demand. The market trading atmosphere was average, and enterprise shipments were limited. Under the supply-demand game, the price of pure alkali was temporarily stable and wait-and-see. As of June 30, 2024, the prices of soda ash in East China had mainly stabilized, with mainstream market quotations for light soda ash around 2,000-2,250 RMB/ton. The prices of soda ash in Central China remained stable and watchful, with mainstream market quotations for light soda ash around 1,900-2,100 RMB/ton.

In terms of demand: According to the commodity analysis system of SunSirs, glass prices had continued to decline. The market average price on June 24th was 19.85 RMB/square meter, and on June 30th it was 19.05 RMB/square meter, a decrease of 4.03%. Downstream procurement of glass was mainly on-demand, market demand was weak and the price was weak and downward.

According to the price monitoring of SunSirs, in the 26th week of 2024 (6.24-6.28), there were 0 products that rose, 2 products that fell, and 5 products that rose or fell to 0 in the chlor alkali industry price list. The main commodities falling were PVC (-1.59%) and caustic soda (-0.25%). The average increase and decrease this week was -0.26%.

Market outlook

According to the commodity analysis system of SunSirs, the price of soda ash was temporarily stable, spot alkali plant equipments slightly fluctuated, and the supply side was at a relatively high level. In terms of downstream demand, procurement was not active, and mostly replenished inventory on demand. The reduction of soda ash inventory was limited, and it is expected that soda ash may be consolidated to be weaker in the later stage, depending on downstream market demand.