This week (11.21-25), the domestic price of ethyl acetate continued to decline. According to the statistics of the business community, the decline this week was 0.73%, mainly due to the low level of raw acetic acid, and some manufacturers lowered their prices, especially the main factories in Shandong, which changed from auction to retail. In the past two weeks, the price fell continuously, which depressed market confidence, and the weak downstream demand. At the weekend, the market price of ethyl acetate was between 6300-6500 yuan/ton.

From the perspective of acetic acid, the prices of acetic acid and ethyl acetate slightly deviated this week. Due to the heavy drop of acetic acid last week (nearly 4%), acetic acid had the reason to make up for the drop. This week, domestic acetic acid stopped falling. According to the monitoring of the business community, the price of acetic acid rebounded slightly by 0.38% this week, but the price is still hovering at a low level. The main reason was that the supply was slightly tightened, the acetic acid plant of Shanghai Huayi stopped due to failure, and the export of some regions increased, while the domestic supply declined for a short time. However, the rebound amplitude is small, and the downturn in downstream demand is difficult to support a strong price rise, especially in North China, Northwest China and other regions where demand is weak, and it is difficult to follow up the late rise.

From the above figure, the price trend comparison chart of acetic acid and ethyl acetate shows that they are highly correlated, and the trend is basically the same in the past three months. However, the opening of acetic acid curve has expanded in the last week and Tuesday, and the acetic acid curve has slightly risen, but the ethyl acetate curve is still in the process of downward exploration.

In addition, from the perspective of ethyl acetate supply, the operating rate of ethyl acetate this week was stable, and the operating rate was flat last week. At present, the operating rate of the industry is about 60%. Major factories in Shandong and Jiangsu maintained normal operation. This week, some manufacturers generally continued the trend of price reduction last week, while most manufacturers reduced their ex factory prices by 50-100 yuan/ton. The manufacturer reduced the price and inventory, which depressed the market confidence. Moreover, the market expectation has turned weak. At present, the supply of ethyl acetate exceeds the demand.

On the demand side, the downstream procurement remained just in demand, and the purchase intention of dealers and downstream factories was weak in the late ten days. The main factories in Shandong changed from auction to retail, and the deal was not ideal. Downstream orders contracted, resulting in a significant slowdown in the speed of goods delivery. The number of transactions in the market is relatively small, and most transactions are at low prices.

In the future market, the ethyl acetate analysts of the business community believed that the raw material acetic acid had stopped falling at present, but the benefits were not much. It was unlikely that it would continue to rebound in the later period, and the cost could not be supported. In addition, the supply and demand would not improve too much, so it was expected that the short-term weakness of acetic acid would not change, and the price would fluctuate slightly.