Price trend

After the holiday, the acetone market rose sharply. According to the monitoring data of SunSirs, the mainstream factories in East China reported 7,000 RMB/ton before the holiday, and 8,000 RMB/ton on May 12, an increase of 14.3%. East China market reported from 7,300 RMB/ton before the festival to 8,300 RMB/ton on May 12, an increase of 13.7%

Up to now, the national mainstream acetone market offers: 8,200-8,300 RMB/ton in eastern China, 8,300 RMB/ton in surrounding areas of Yanshan and Shandong, and 8,000 RMB/ton in southern China.

Analysis review   

From the perspective of the product itself, taking the East China region as an example, on May 12, the mainstream factories in the country increased by 300 RMB/ton, Sinopec billed mainstream 8,000 RMB/ton, and Lihuayi Weiyuan Chemical offered 8,200 RMB/ton; Yangzhou Shiyou offered 8,200 RMB/ton. Acetone in the East China market rose from 7,900 RMB/ton on the 6th to 8,300 RMB/ton on the 12th, up 5%; on the supply side, the port stocks fell below the 7,000-ton level and the port warehouses were low. In terms of domestic factory installations, the phenolic ketone plant at Zhongsha Tianjin 350,000 tons/year was shut down for 2 months on 9th. Jihua had no selling volume.

From the perspective of the industry chain, the upstream raw material market is showing an upward trend, and the support from the cost side is strong. In terms of pure benzene, according to the monitoring of the business community, the offer of pure benzene in Shandong on the 5th was 2,960 RMB/ton, and the offer of pure benzene on the 12th was 3,310 RMB/ton, an overall increase of 11.82%.On the 12th, Sinopec Group Qilu Petrochemical quoted 3,100 RMB/ton, Yangzi Petrochemical quoted 3,150 RMB/ton, Hainan Refinery quoted 3,150 RMB/ton, Wuhan Ethylene quoted 3,150 RMB/ton, Jingbo Petrochemical quoted 3,600 RMB/ton, Dongming Petrochemical quoted price 3,500 RMB/ton, HSBC Petrochemical offers 3,150 RMB/ton, Jincheng Petrochemical offers 3,500 RMB/ton. In terms of propylene, the price of propylene slightly increased by about 50 RMB/ton during May Day, and continuously increased by 50 RMB/ton every day from the 6th to the 11th. According to the monitoring data of SunSirs, on the 12th, the Shandong region's offer was 6,459.2 RMB/ton, up 7.73% from the 5th, and the current market turnover is between 6,250-6,400 RMB/ton.

Looking at the downstream market, the bisphenol A market, the mainstream offer in East China on the 12th was 9,750 RMB/ton, an increase of 1,000 yuan from the pre-holiday 8,800 RMB/ton. At present, the factory is listed on tens of thousands of tons. The offer in mainstream areas such as Huangshan, Shandong and North China is mostly 9,700-9,800 RMB/ton, and the offer in South China has exceeded 10,000 yuan. Overall, the bisphenol A market was consolidated at high prices on the 12th. In terms of isopropanol, mainstream factories are operating at full capacity, and factory orders are mostly scheduled until the end of May. The current market offer in Jiangsu and Zhejiang is 11,500-11,700 RMB/ton, and Shandong area is 11,200-11,400 RMB/ton.

From the perspective of the chemical industry, the chemical index on May 11 was 636 points, an increase of 15 points from the 5th. The chemical index continued to rise after the holiday and rose 6.35% from the lowest point of 598 points on April 08, 2020. The chemical market as a whole showed a trend of more ups and less downs. (Note: Period refers to 2011-12-01 to present)

Market outlook

Under the situation of tight spot supply, the mentality of the holders has slowed down, and the sentiment is more intense. The downstream isopropanol was operating at a high level, the bisphenol A and MMA market offers were strong and strong, terminal enquiries actively followed up, and the market's trading activity remained unchanged. The business community expects the short-term acetone market to continue to operate at a high level. The mainstream reference offer in East China is 8,200-8,400 RMB/ton.

If you have any questions, please feel free to contact SunSirs with marketing@sunsirs.com.