Price trend

According to the Commodity Market Analysis System of SunSirs, from April 14th to 18th, the domestic MDI market accelerated its decline, with an average price of 15,116 RMB/ton at the beginning of the week and 14,300 RMB/ton over the weekend, a decrease of 5.4% during the period and a year-on-year decrease of 15.64%. There was a strong pessimistic atmosphere in the domestic MDI market during the week, and there was a strong willingness to ship at low prices. The on-site supply was sufficient, but the demand was light, resulting in a wide decline in the MDI market.

Analysis review

On the supply side, the 1.2 million tons/year MDI plant of Wanhua Ningbo in China began rotating between two sets of plants on March 20th, while other plants were running smoothly. BASF and Huntsman had maintenance plans in May. There was a maintenance plan for the 400,000 tons/year MDI plant in Tosa, Japan in May.

On the cost side, raw material benzene: After the continuous decline in the benzene market, there has been a slight rebound in prices recently, but due to the uncertainty of tariff policies, the future market was not optimistic. Raw material aniline: Aniline continues to fall sharply, with mainstream prices ranging from 7,500-7,600 RMB/ton. The overall shipment of aniline factory was not smooth, with accumulated inventory and insufficient confidence in the field.

On the demand side, downstream demand follow-up was poor, the enthusiasm for entering the market was not high, and the market was in a stage of oversupply.

Market outlook

The MDI market was greatly affected by policies, and the mentality of industry players was relatively pessimistic. At the same time, under the further pressure of weak supply and demand, the price of MDI has fallen to a low level. It is expected that the market will maintain a weaker trend in the short term and the decline will decrease.

If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.