Domestic boric acid prices stopped falling and stabilized in June

According to the Commodity Market Analysis System of the Business Society, the price of boric acid slightly rebounded in June. As of June 29th, the average price of boric acid in the domestic market was 7417.5 yuan/ton, an increase of 1.09% compared to the beginning of the month, but a decrease of 8.43% compared to the beginning of the year, which was 8100 yuan/ton.

At present, the external quotation for imported goods is concentrated at 7000-8200 yuan/ton (the actual transaction price of different brands, specifications, and products is mainly negotiated). According to the Commodity Market Analysis System of Business Society, the average market price of imported boric acid is 7427.27 yuan/ton, an increase of 0.48% compared to the average market price at the beginning of the month.

Boric acid analysts from Business Society believe that the price of boric acid began to slightly recover in June, and it is expected that the short-term trend will remain unchanged, but the upward space is limited.

According to the commodity analysis system of the business community, the domestic Neopentyl glycol market price fell sharply in June, and the average price of the domestic Neopentyl glycol mainstream market fell from 10433.33 yuan/ton at the beginning of the month to 9500.00 yuan/ton at the end of the month, a decline of 8.95%. The price at the end of the month decreased by 32.94% year-on-year. On June 28, the Neopentyl glycol commodity index was 45.78, unchanged from yesterday, down 55.82% from the cycle’s highest point of 103.61 (2021-09-22), and up 6.34% from the lowest point of 43.05 on November 28, 2022. (Note: The cycle refers to the period from September 1st, 2021 to present)

From the supply side, the quotation of Neopentyl glycol mainstream manufacturers fell slightly this month.

From the cost side, the market price of Isobutyraldehyde fell sharply in June. The market price of Isobutyraldehyde fell from 7533.33 yuan/ton at the beginning of the month to 6833.33 yuan/ton at the end of the month, a decrease of 9.29%. The price at the end of the month decreased by 11.64% year-on-year. The factory price of formaldehyde in China slightly decreased in June. The factory price of formaldehyde dropped from 1103.33 yuan/ton at the beginning of the month to 1070.00 yuan/ton at the end of the month, a decrease of 3.02%. On the whole, the price of upstream raw material market fell slightly, which was affected by the supply and demand, and the price support for Neopentyl glycol was insufficient.

In the future, the overall trend of Neopentyl glycol market in the first ten days of July may be dominated by a slight shock decline. The upstream Isobutyraldehyde and formaldehyde market declined slightly, and the cost support was insufficient. The downstream paint market is average, and the enthusiasm for downstream procurement has weakened. The Neopentyl glycol analysts of the business agency believe that the short-term Neopentyl glycol market is dominated by small fluctuations and declines in the market under the influence of supply and demand, raw materials and other aspects.

According to the commodity market analysis system of the business community, at the beginning of the month, the first grade industrial Potassium nitrate in Shanxi was quoted at 5100.00 yuan/ton, and at the end of the month, the first grade industrial Potassium nitrate in Shanxi was quoted at 5350.00 yuan/ton, down 6.39%, and the current price fell 32.12% year on year.

Potassium nitrate

In June, the domestic market of Potassium nitrate rose. From the figure above, it can be seen that the market of Potassium nitrate has fluctuated and declined for six consecutive months since 2023. This month, the market bottomed out and rebounded. Recently, the upstream Potassium chloride market has been consolidated, Potassium nitrate stock is tight, and the supply of goods is mostly in the hands of traders, so they are reluctant to sell the goods. The market has less circulating supplies, and Potassium nitrate is actively traded, leading to an increase in the market. According to the statistics of the business society, the recent quotation of domestic mainstream Potassium nitrate manufacturers is 5000-5400 yuan/ton (the quotation is for reference only), which varies according to the procurement situation.

According to the commodity analysis system of the business community, the overall market of Potassium chloride in June was in a volatile downward trend. Recently, the international market demand for Potassium chloride is insufficient, and the price shows a downward trend. The domestic Spot market of Potassium chloride was in general trading, and the price of Potassium chloride fell slightly in shock. The market of Potassium chloride is expected to consolidate at a low level in the future.

At present, the price of potash fertilizer market is weak and consolidated, and the cost support is general, but the Potassium nitrate inventory is low, and the market transaction is good. It is expected that the price of Potassium nitrate will mainly rise in the short term, and the long-term market still needs to wait and see.

According to the Commodity Market Analysis System of Business Society, the acrylonitrile market fell weakly in June. As of June 26th, the bulk water price in the acrylonitrile market was 7850 yuan/ton, a decrease of 8.99% from 8625 yuan/ton at the beginning of the month. The price of raw material propylene first fell and then rose, with overall weak consolidation and fluctuations in the cost range of acrylonitrile; The downstream ABS market has slightly increased, but the start of construction has gradually decreased, and demand is relatively low due to the impact of acrylonitrile; Although acrylonitrile production started slightly lower in June, downstream demand was weak and transaction volume decreased, resulting in a slight decrease in acrylonitrile prices.

Due to the negative impact of a small number of enterprise installations, the domestic production of acrylonitrile in June slightly increased compared to the previous period, and the supply of acrylonitrile continued to be loose.

In June, the price of raw material propylene first fell and then rose, and the cost range of acrylonitrile fluctuated. According to the Commodity Market Analysis System of Business Society, as of June 26th, the domestic propylene price was 6425 yuan/ton, a decrease of 0.54% from the 6460 yuan/ton at the beginning of the month, and the low point during the cycle was 6155 yuan/ton.

Downstream support for acrylonitrile weakened in June. Although the downstream ABS prices have increased, the industry’s equipment operation has gradually decreased from around 8.4% load to below 80% load, resulting in a significant weakening of demand for acrylonitrile; The shutdown and maintenance of the domestic Lanhua nitrile device, the start of the Nitrile rubber industry declined slightly, and the demand for acrylonitrile decreased slightly. The price of polyacrylamide has temporarily stabilized at a low starting point, providing weak support for acrylonitrile.

Future forecast: Acrylonitrile analysts from Business Society believe that on the one hand, the supply of acrylonitrile is loose, and on the other hand, the current demand for acrylonitrile is weak; It is expected that the acrylonitrile market will be weak in the short term.

Zinc prices have slightly fluctuated and fallen this week

According to the Commodity Market Analysis System of the Business Society, as of June 25th, the zinc price was 20462 yuan/ton, a decrease of 0.78% compared to the zinc price of 20622 yuan/ton on June 18th last weekend; The zinc price has increased by 5.04% compared to June 1st, 19480 yuan/ton. Insufficient support for the positive zinc market has led to a slight decline in zinc prices this week.

Downstream market downturn

Affected by the upcoming Dragon Boat Festival holiday, downstream customers in the zinc market are stocking up, and their enthusiasm has increased. Zinc prices have fluctuated and increased. However, as the holiday approaches, downstream customers’ purchasing enthusiasm has declined, and zinc ingot traders have reduced prices to stimulate transactions, causing zinc prices to fluctuate and decrease.

Inflation in the United States is still at a high level, and the U.S. Dollar Index has risen in shock. In July, the expectation of interest rate increase in the United States has increased, the support for international economic macro growth has weakened, and the zinc price in London has fallen in shock.

Future Market Forecast

According to the data analysts of Business Agency, inflation still exists in the United States, the expectation of interest rate increases, the U.S. Dollar Index rises, and the domestic macro-economy remains weak; The Dragon Boat Festival holiday in China has ended, and downstream customers’ stocking and restocking have ended. The purchasing enthusiasm of downstream customers in the zinc market has declined. Overall, macroeconomic weakness remains, with insufficient support for the rise of the zinc market. It is expected that zinc prices will fluctuate and consolidate in the future.

1、 Price trend

According to the Commodity Market Analysis System of the Business Society, the price of bromine has temporarily stabilized this week. The average market price from the beginning of the week to Wednesday was 18000 yuan/ton, a year-on-year decrease of 69.23%. On June 20th, the bromine commodity index was 63.16, unchanged from yesterday, a decrease of 74.24% from the cycle’s highest point of 245.18 points (2021-10-27), and an increase of 7.20% from the lowest point of 58.92 points on October 29th, 2014. (Note: The cycle refers to the period from September 1st, 2011 to the present)

2、 Market analysis

Bromine prices are temporarily stable this week. The mainstream market price in Shandong is around 17000-18500 yuan/ton. The overall trading atmosphere in the bromine market is average, with the recent peak season of seawater bromine production. The downstream support is average, and the flame retardant and intermediate industries are still mainly purchasing according to demand in the near future. The attitude of the bromine industry is average. The intention to stabilize the price of bromine is relatively obvious, and the industry mentality is gradually stabilizing.

In terms of raw materials, the domestic sulfur market has been operating weakly this week, with an average market price of 803.33 yuan/ton at the beginning of the week and 796.67 yuan/ton on Wednesday. The price has decreased by 0.83%, a year-on-year decrease of 79.43%. The production of the manufacturer is stable, the inventory of the manufacturer is sufficient, and the downstream enthusiasm is not good. A small number of purchases are followed up according to demand, and the market trading atmosphere is weak. The short-term sulfur market is running light.

It is predicted that the price of bromine will temporarily stabilize in the near future, while the upstream sulfur price will decline. The demand for downstream flame retardants and intermediates in the bromine industry will continue to be average in the near future. Bromine companies have a clear intention to increase prices in the near future, and the mentality of the industry will gradually become stable. Overall, it is expected that the short-term bromine price may temporarily stabilize the operating market, depending on the downstream market demand.

According to monitoring data from Business Society, as of June 20, 2023, the domestic market price of organic silicon DMC is based on 14140 yuan/ton, which is basically unchanged compared to June 16; The price was reduced by 180 yuan/ton, or 1.26%, compared to June 1st (with reference to 14300 yuan/ton for organic silicon DMC).

It can be seen from the data monitoring chart of the business community that before the Dragon Boat Festival, the domestic silicone DMC market as a whole was in stable operation. Before the holiday, there was little change in the overall supply and demand of the organic silicon DMC market. The downstream stocking pace of organic silicon DMC before the holiday was average, and the overall demand remained cautious and focused on just in demand procurement. In terms of supply, there is still some supply pressure on the overall silicone DMC site, and the supply side provides general market support. As of June 20th, the domestic organic market price reference is around 14000-14300 yuan/ton.

Prediction of the Future Trend of Organic Silicon DMC Market

At present, the trading atmosphere in the organic silicon DMC market is average, with limited trading of new orders on the market. Weak costs also provide limited cost support for organic silicon DMC. According to the organic silicon DMC data analyst of the Business Society, in the short term, the domestic organic silicon DMC market is mainly adjusted and operated within a narrow range, and the specific trend still needs to pay more attention to changes in supply and demand news.

1、 Price trend

According to the commodity analysis system of the business community, the domestic market of imported Potassium chloride fell slightly this week, with the price falling from 2825.00 yuan/ton at the beginning of the week to 2762.50 yuan/ton at the end of the week, a decline of 2.21%. On June 18, the Potassium chloride (import) commodity index was 87.70, unchanged from yesterday, down 49.77% from the peak of 174.60 (2022-06-21) in the cycle, and up 50.56% from the lowest point of 58.25 on August 6, 2020. (Note: The cycle refers to the period from March 1st, 2012 to present)

2、 Market analysis

The quotation of domestic mainstream Potassium chloride dealers fell slightly this week. The arrival price of 60% white potassium in Qinghai is around 2500-2700 yuan/ton, and the self raised price of 62% white potassium in ports is around 2600 yuan/ton. The self raised price of 60% Dahong granules at the port is around 2800-2900 yuan/ton. Border trade accounts for 62% of Russian white potassium at around 2200-2300 yuan/ton. Both have declined.

From the downstream market of Potassium chloride, the price of potassium carbonate market fell slightly this week, from 8100.00 yuan/ton at the beginning of the week to 7840.00 yuan/ton at the end of the week, down 3.21%, and the price at the weekend fell 22.57% year on year. The price of Potassium nitrate market finally rose this week, rising 2.94% from 5100.00 yuan/ton at the beginning of the week to 5250.00 yuan/ton at the end of the week. The price at the end of the week fell 31.26% year on year. On the whole, the downstream market of Potassium chloride fluctuated with each other, and the downstream customers’ demand for Potassium chloride was average.

3、 Future Market Forecast

The overall trend of Potassium chloride market in late June may fall in a narrow range, mainly finishing. Salt Lake and Zangger Potassium chloride prices were adjusted at a low level. The downstream market of Potassium chloride fluctuates with each other. The downstream demand is general, and the purchase of rigid demand is the main demand. International potassium fertilizer prices continue to decline. Potassium chloride analysts from the business agency believe that the domestic Potassium chloride import price may fall slightly in the short term.

According to the Commodity Market Analysis System of the Business Society, the market price trend of ortho phthalic anhydride has slightly declined this week. As of the weekend, the quotation for ortho phthalic anhydride was 7637.5 yuan/ton, a decrease of 0.65% compared to the price of 7687.5 yuan/ton at the beginning of the week, and a year-on-year decrease of 11.96%.

Supply side: Stable operation of the device and sufficient supply of goods

Recently, the operation of domestic phthalic anhydride plants has been stable, and the operation of domestic phthalic anhydride plants has been stable. Currently, the operating rate of domestic phthalic anhydride is around 60%, and the supply of goods is normal. Recently, the demand for phthalic anhydride has been average, and manufacturers’ orders have been light, with bearish factors affecting a slight decline in the domestic phthalic anhydride market.

Cost side: The price trend of ortho benzene market is temporarily stable

This week, the price trend of domestic ortho benzene was temporarily stable. By the end of the week, the price of ortho benzene was 8100 yuan/ton, unchanged from the price of 8100 yuan/ton at the beginning of the week. The supply of ortho benzene was normal, and the operation of on-site devices was stable. This week, the price range of crude oil fluctuated, the pressure on O-Xylene increased, the demand for O-Xylene was weak, the price of ortho benzene in the external market changed little, the price trend of ortho benzene market was stable, and the decline of phthalic anhydride market was limited.

On the demand side: DOP market trend is rising, with on-demand procurement being the main focus

The downstream DOP market price trend has increased, with a 2.53% increase this week. Currently, the domestic DOP price is 9500 yuan/ton, and domestic DOP enterprises are operating steadily. Demand based procurement is the main demand for phthalic anhydride, with the mainstream DOP price ranging from 9500 to 9600 yuan/ton. The upward trend of DOP price is favorable for the phthalic anhydride market. Overall, the demand in the plasticizer industry is average, and the price decline in the phthalic anhydride market is limited due to this impact.

In the future, the price trend of O-Xylene remains weak in the short term. In addition, the demand of downstream plasticizer industry has not improved significantly, the plasticizer market has risen slightly, the supply of phthalic anhydride is normal, and the sales situation is general. It is expected that the market price of ortho phthalic anhydride will rise slightly in the later period.

Price trend

In early June, the domestic PA6 market first fell and then rose, with narrow fluctuations in spot prices. According to data monitoring from Business Society, as of June 12th, the average factory price of PA6 in China was 13500 yuan/ton, a decrease of -0.18% compared to the average price level at the beginning of the month.

Cause analysis

In terms of raw materials:

It can be seen from the figure above that the price of Caprolactam rose last week. The price of raw material pure benzene fluctuated slightly, and cost support is still acceptable. The spot supply of Caprolactam in the market decreased, and many enterprises raised prices slightly. The willingness to restock downstream has increased, with low price transactions being the main focus. It is expected that the market price of Caprolactam will stabilize and improve in the short term.

On the supply side:

In the near future, the overall load of PA6 production enterprises is relatively stable, operating in a narrow range of around 70%. The market supply is stable, and there is an expectation of an increase in operating rates in the future. There is a risk of inventory position continuing to rise, and the supplier’s support for spot goods is average, with factory pricing under pressure.

In terms of demand: Downstream, the load of the weaving and spinning industries has fluctuated. The actual trading is generally concentrated in low-end spot goods. The overall atmosphere of stocking on site is cautious, with no improvement in the situation of new orders. Buyers are resistant to high priced sources, and the overall demand for PA6 chips is average.

Future Market Forecast

Recently, the PA6 market has been fluctuating in a narrow range. The load of domestic polymerization plants is stable, and the supply remains sufficient. In terms of demand, it is average, and stocking tends towards low-priced sources. The price of Caprolactam has recovered, and the support of PA6 cost side has been strengthened. It is expected that the PA6 market will be mixed in the short term, and it is recommended to pay attention to the cost side market.