Price trend
On the first day after the holiday, major mainstream phenol markets in China rose, but then the market fell back, and overall prices remained unchanged compared to before the holiday. According to data monitored by SunSirs, the domestic phenol market price was 7,770 RMB/ton on February 4th, but fell back to 7,750 RMB/ton on February 7th, with a weekly fluctuation of 0.9% or 90 RMB/ton.
Analysis review
On the eve of the Spring Festival holiday, the trend of benzene was relatively strong, supported by favorable cost factors, and phenol traders were tentatively reporting high prices. There was not much pressure on the spot supply of phenol. On the first day after the holiday, traders generally raised prices, but the pace of factory entry into the market was relatively slow. Some factories have postponed production, and downstream end users have made many inquiries and actual orders for replenishment, resulting in low trading volume.
On the supply side, the operating rate of phenol ketone enterprises after the holiday was 83%. The shutdown and maintenance of the phenol ketone plant in Huayi, Guangxi after the holiday had little impact on the supply volume within the week. In terms of imports, as of February 7th, the shipment volume of phenol in East China was 16,200 tons, with 6,000 tons already reached and 10,000 tons still in transit.
On February 7th, the phenol offers in various mainstream markets across the country were as follows:
|
Area |
Quotations (RMB/ton) |
Daily Change (RMB/ton) |
|
East China |
7,700 |
-20 |
|
Shandong |
7,750 |
-20 |
|
Yanshan and surrounding areas |
7,750 |
-20 |
|
South China |
7,800 |
-50 |
Market outlook
From the perspective of SunSirs, the domestic phenol market is expected to experience narrow fluctuations next week. In the short term, there is not much pressure on spot supply, and downstream factories will resume work one after another next week. The inquiry volume may increase, but most of it will be for urgent needs replenishment. In addition, considering factors such as cost and average price, traders are cautious in raising prices and will focus on the development of the demand side in the later stage.
If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.
