Price trend
This week, the focus of the ECH market has declined, and prices have shown a decline. As of January 10th, the benchmark price of ECH in SunSirs was 8,975.00 RMB/ton, a decrease of -0.83% compared to the beginning of this month.
Analysis review
Price influencing factors:
Raw material side: The price of propylene was fluctuating downward, and cost support was insufficient. According to the market analysis system of SunSirs, as of January 9th, the benchmark price of propylene in SunSirs was 6,908.25 RMB/ton, an increase of 1.06% compared to the beginning of this month (6,835.75 RMB/ton).
Supply side: Recently, Shandong Huatai Group Dongying Liancheng Chemical's 100,000 tons/year glycerol (sodium) method ECH plant was successfully started in one go. The increase in new production capacity of ECH has eased the previous supply tension. This week, the overall operating rate of the ECH industry reached 50-60%. Some facilities in Zhejiang, Shandong and other areas have been restarted, and the market supply has increased.
Downstream demand side: Downstream market demand was weak, and a small amount of replenishment was purchased as needed. The trading atmosphere for new orders was cold, the focus of actual order negotiations has weakened, and there were more discounts on sales. There were more low-priced goods from small factories in the market, and the overall purchasing enthusiasm was low.
Market outlook
Analysts from SunSirs believe that the cost support was insufficient, the market trading atmosphere was cold, downstream companies were cautious and cautious, and raw materials are purchased according to demand. In addition, some enterprises have restarted their facilities and increased their burdens, and the market supply is sufficient. It is expected that the market price of ECH will fluctuate slightly and operate to be weaker next week, and more attention should still be paid to changes in market prices.
If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.