SunSirs: Downstream Followed up as Needed, and the Acrylic Acid Market Was Temporarily Stable
January 10 2025 10:50:39 SunSirs (John)
Market price trend
Price dynamics: This week, the market price of acrylic acid showed a stable trend with limited fluctuations. As of January 9th, the benchmark price of acrylic acid in SunSirs was 7,700.00 RMB/ton, an increase of 1.99% compared to the beginning of this month (7,550.00 RMB/ton). Compared to the previous time point, there has been an increase, but the increase was not significant.
Price influencing factors: The slowdown in the incremental supply of spot goods on the supply side had a supportive effect on prices. Downstream demand has not shown significant growth, and there was a strong wait-and-see sentiment in the market, which put pressure on price increases.
Market supply and demand situation
Supply side: The recent maintenance and resumption of production of acrylic acid plants have had an impact on market supply. Due to maintenance or reduced load operation of some devices, the utilization rate of acrylic acid production capacity has remained narrow, but overall, the incremental speed of the supply side was relatively slow. With the gradual resumption of production of maintenance equipment, the supply side is expected to release more production capacity, but the specific release speed and scale still need to be observed.
On the demand side: Downstream demand was relatively stable, factories were basically maintaining long-term inventory consumption, and inquiries about low-priced sources were average. Traders and downstream users were more cautious when making purchases, resulting in a slower increase in market trading volume.
Raw material cost: Propylene is the main raw material for acrylic acid, and its price fluctuations directly affect the production cost of acrylic acid. The rise in propylene prices will increase the production cost of acrylic acid, thereby pushing up market prices. On 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). The price fluctuations of other raw materials such as oxygen and catalysts can also affect the price of acrylic acid.
Industry Development Trends and Prospects
Capacity expansion: The acrylic acid industry will continue to face pressure for capacity expansion. With the commissioning of new facilities and the expansion of existing facilities, the market supply will continue to increase. The expansion of production capacity will intensify market competition, and enterprises need to improve their competitiveness through technological innovation and product structure adjustment.
Environmental requirements: Environmental requirements will become an important limiting factor for the development of the acrylic acid industry. Enterprises need to adopt environmentally friendly materials, optimize production processes, and reduce waste emissions to reduce environmental pollution during the production process. The development of environmentally friendly acrylic products will become an important direction for the industry.
Industry chain collaboration: The collaboration and integration between upstream and downstream enterprises in the acrylic acid industry chain will be strengthened. By strengthening cooperation and coordination, resource optimization and cost reduction can be achieved. The stability of upstream raw material supply, the technological level and production efficiency of midstream production enterprises, as well as the consumption capacity and market demand of downstream enterprises, are all important factors that affect the synergy of the industrial chain.
Market demand: With the rapid development of emerging industries such as new energy vehicles and photovoltaic power generation, the market demand for acrylic acid industry will further increase. Meanwhile, the increasing demand for high-quality products will also drive the development of the acrylic acid market.
In summary, the acrylic acid market has been operating steadily this week, and downstream was following up on demand. In the future, the acrylic acid industry will continue to face challenges and opportunities such as capacity expansion and increased environmental requirements. Enterprises need to closely monitor market dynamics and policy changes, strengthen technological innovation and industrial chain collaboration to cope with market competition and meet market demand.
If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.
