Ethylene glycol prices rose in December

The price of ethylene glycol rose in December. According to data from Business Society, as of December 29th, the average price of domestic oil to ethylene glycol was 4307.50 yuan/ton, an increase of 4.21% from the beginning of the month. Prices in various regions are as follows:

The price range for spot goods executed by mainstream manufacturers in East China is between 4295-4400 yuan/ton; The spot price of ethylene glycol in the South China market is 4300 yuan/ton, and the price range for mainstream manufacturers in Central China’s spot market is 4300 yuan/ton; The mainstream manufacturers in North China offer a spot price of 4295 yuan/ton to the outside world.

The factory price of coal based polyester grade ethylene glycol is low, with a factory price of 3680 yuan/ton in the northwest region.

Review of ethylene glycol market

The expectation of overseas import volume contraction runs through December. At the beginning of the month, the news of equipment maintenance in Saudi Arabia pushed the price of ethylene glycol to stop falling and stabilize, reversing the previous decline. Affected by the Red Sea incident in the later stage, coupled with the month on month inventory of ethylene glycol at the port, the price of ethylene glycol increased significantly.

At the end of the month, crude oil prices fell, and the market’s bullish sentiment began to decline. In addition, there were not many downstream inquiries, and the market gradually returned to fundamental considerations.

Expected future market for ethylene glycol

The main variables currently affecting the price of ethylene glycol are whether the implementation of import volume reduction has been realized, and whether the underlying cost support brought about by crude oil and coal prices will shift.

The supply and demand fundamentals of ethylene glycol are still in a weak state, and the high inventory reality suppresses the upward space of prices. Currently, prices have shown significant upward momentum, and it is expected that ethylene glycol prices will fluctuate weakly in the short term.