The domestic fluorite price trend continued to decline in May, with an average price of 3493.75 yuan/ton as of the end of the month, a decrease of 5.73% from the beginning price of 3706.25 yuan/ton and a year-on-year decrease of 8.21%.

Supply side: Normal operation, sufficient spot supply of fluorite
The current situation of the game in the domestic fluorite industry still exists. Overall, the operating rate of enterprises has increased. Upstream mining is tight, and backward mines will continue to be eliminated. In terms of new mines, mineral investigation work is still difficult. In addition, national departments need to rectify fluorite mines, and fluorite mining enterprises are facing increasingly strict safety and environmental protection requirements. The difficulty of operating fluorite mines has increased, and the shortage of raw materials has limited the operation of fluorite enterprises. However, as the temperature rises, northern enterprises gradually start operating, and the supply of fluorite enterprises in the field has increased. The lack of active procurement has led to sufficient spot goods in the field, and fluorite inventory in the field has increased. The fluorite market continued to decline in May.
Demand side: The price of hydrofluoric acid has declined, and the refrigerant market is still acceptable
In May, the domestic price of hydrofluoric acid declined, and the mainstream price for hydrofluoric acid in various regions of China was negotiated at 11200-11700 yuan/ton. The downstream hydrofluoric acid equipment is still in shutdown, and there is little change in the spot supply of hydrofluoric acid. Manufacturers mainly purchase hydrofluoric acid on demand, and the overall production of hydrofluoric acid remains at more than 50%. Fluorine enterprises maintain essential orders, and hydrofluoric acid enterprises are in a loss making state. They are not actively purchasing raw fluorite, and downstream merchants have a strong wait-and-see attitude. Both buyers and sellers have weak expectations for the future market due to poor demand digestion. In June, the guidance price of hydrofluoric acid manufacturers was once again lowered, and the downward trend of fluorite prices is difficult to change due to this news.
The downstream refrigerant market in the terminal industry is still promising, and the terminal policy of the refrigerant industry is being strengthened. Demand is expected to achieve substantial improvement. Fluorine chemical enterprises within quota control have strong confidence in raising prices in the refrigerant market. Currently, the pace of high price procurement is relatively slow, but the industry inventory is transmitting in a positive and orderly manner. Due to high prices, the enthusiasm for stocking up in the terminal industry is low, and upstream products are mainly purchased on demand. The trend of refrigerant market is average, while the fluorite market continues to decline.
In addition to the traditional demand in the refrigerant industry, fluorite, as an important mineral raw material for modern industry, is constantly developing in emerging fields. It is also applied in strategic emerging industries such as new energy and new materials, as well as in national defense, nuclear industry and other fields, including lithium hexafluorophosphate, PVDF、 Graphite negative electrodes, photovoltaic panels, etc., have received certain support in the application of fluorite due to the demand for new energy and semiconductors.
Market forecast: In the near future, it is difficult to improve the supply of domestic fluorite mines, and some mines have stopped production and undergone safety inspections. The tight supply of fluorite mines is a positive support for the fluorite market. However, in some areas, the lack of active fluorite procurement has led to an increase in inventory. In addition, downstream resistance to high prices is severe, and hydrofluoric acid enterprises mainly purchase on demand, with no actual increase in demand. In addition, the market price of hydrofluoric acid is low. Overall, the fluorite market price is prone to decline but difficult to rise in the short term.

According to the Commodity Market Analysis System of Shengyi Society, as of May 25th, the average price of acetic acid was 2700 yuan/ton, an increase of 30 yuan/ton or 1.12% compared to the price of 2670 yuan/ton on May 19th.
This week, the acetic acid market has been running strongly, and enterprise quotations have risen. On the supply side, the acetic acid plant is operating steadily, and the market capacity utilization rate remains high. From a regional perspective, most enterprises have lower inventories, and manufacturers have a clear intention to increase prices. Downstream inventory is not high, and market purchasing sentiment is good. The focus of acetic acid transactions has shifted upward.

As of May 25th, the market prices of acetic acid in various regions are as follows:
Region /May 19th /May 23rd /Rise and fall
South China region /2525 yuan/ton /2550 yuan/ton / 25
North China region /2540 yuan/ton /2565 yuan/ton / 25
Shandong region /2570 yuan/ton /2580 yuan/ton / 10
Jiangsu region /2440 yuan/ton /2460 yuan/ton / 20
Zhejiang region /2640 yuan/ton /2660 yuan/ton / 20
The upstream methanol market is running weakly. From May 19th to 25th, the average price in the domestic market decreased from 2362 yuan/ton to 2303 yuan/ton, with an overall decline of 2.49%. The expectation of incremental supply in the methanol market has strongly suppressed prices. Although downstream external mining and downstream equipment start-up have provided some support to the market, the overall support is weak, and the domestic methanol market is under pressure to decline.
The downstream acetic anhydride market is operating weakly. On May 25th, the average ex factory price of acetic anhydride was 4442.50 yuan/ton, a decrease of 1.55% compared to the price of 4512.50 yuan/ton on May 19th. The upstream acetic acid market is relatively strong, the cost of acetic anhydride is increasing, downstream demand is insufficient, the market trading atmosphere is light, the profit of acetic anhydride is decreasing, and the price of acetic anhydride is weakly declining during the cycle.
According to the forecast for the future, the acetic acid analyst from Shengyi Society believes that currently, there is no pressure on the inventory of acetic acid enterprises, and the manufacturers’ mentality is strong. At the same time, some domestic factories have maintenance plans to release, and the utilization rate of acetic acid production capacity will be reduced. Downstream demand will follow steadily. Under the guidance of the news, it is expected that the acetic acid market will be steadily adjusted upwards in the short term, and specific attention will be paid to changes in equipment and downstream follow-up situations.

According to the Commodity Analysis System of Shengyi Society, the recent upward trend of styrene has ended, and the price has fluctuated and fallen back. Firstly, the favorable conditions for raw material pure benzene have been exhausted, leading to an increase in equipment load. Coupled with the sustained high supply from South Korea, there is a significant pressure to reduce inventory, resulting in a downward shift in the price center of pure benzene. Secondly, the high inventory of styrene downstream and weak demand, coupled with the early completion of maintenance for some facilities, have further suppressed the rise in styrene prices due to increased supply. In the short term, the raw material pure benzene is weak and difficult to change, and it is expected that the styrene market will operate weakly in the short term.

According to the Commodity Market Analysis System of Shengyi Society, from May 12th to 16th, the average price of BDO in China remained at 7950 yuan/ton, with a month on month increase of 0.25% and a year-on-year decrease of 11.81%. With the restart of some facilities and the increase in industry capacity utilization, supply side support has weakened, exacerbating the wait-and-see sentiment in the market. Downstream urgent orders are being followed up, and the transmission of industrial chain costs is not smooth, suppressing the trend of pressure. Supply and demand negotiation game, BDO market situation is operating in a wait-and-see manner.
On the supply side, although some facilities in Xinjiang have been shut down, the early maintenance equipment has restarted and increased production, resulting in an industry capacity utilization rate of over 50%. The positive support from the supply side has weakened, and the wait-and-see sentiment in the market has increased. But Xinhua’s equipment has a maintenance plan in mid to late May, and the supply side support may improve again. The supply side of BDO is affected by negative factors.
On the cost side, raw material calcium carbide: The domestic calcium carbide market is operating steadily, but production enterprises are experiencing production restrictions under the pressure of electricity costs, leading to unstable supply. The domestic methanol market has been fluctuating and consolidating. As of 10:00 am on May 16th, the domestic methanol Taicang price was 2426 yuan/ton. The price adjustment and operation of raw materials such as calcium carbide and methanol have a mixed impact on the cost of BDO.
On the demand side, the operating load of downstream PTMEG and PU slurries has increased, but the capacity utilization rate of PBT and TPU industries has decreased, resulting in an overall increase in raw material consumption, but not as much as the supply side increment, leading to an increase in supply and demand pressure. Under the negative impact of insufficient follow-up on terminal demand in multiple downstream industries such as PTMEG, PBT, GBL-NMP, PBAT, market prices have fluctuated at low levels, and industry profit margins have been compressed. Therefore, there is a strong bargaining sentiment towards raw materials. The demand side of BDO is affected by bearish factors.
Market forecast: With an increase in maintenance equipment, there will be more favorable support from the supply side, and the supply side will maintain a stable market mentality. Downstream maintenance requires follow-up, and under cost pressure, raw material prices are severely suppressed. Business analyst BDO predicts that the domestic BDO market has limited volatility.

1、 Price trend

According to the Commodity Market Analysis System of Shengyi Society, as of May 9th, the reference average price of domestic urea market was 1921 yuan/ton, which is 2.49% higher than the reference average price of 1875 yuan/ton on May 5th.
2、 Market analysis
market conditions
This week, the domestic urea market has shown a strong upward trend. As of May 9th, the urea market prices in Shandong are around 1840-1940 yuan/ton, Hebei is around 1870-1970 yuan/ton, Henan is around 1850-1910 yuan/ton, Hubei is around 1850-1930 yuan/ton, and Liaoning is around 1860-1910 yuan/ton.
Supply and demand situation
In terms of supply, the urea market has sufficient supply this week, and inventory pressure is still present, with stable shipments from enterprises. In terms of demand, the market transaction atmosphere is good this week, and downstream demand is still following up. But after continuous increases, the downstream cautious mentality has increased.
3、 Future forecast
The urea analyst from Shengyi Society believes that the domestic urea market trend has been improving recently. At present, the urea market is experiencing smooth shipments and good market trading, awaiting the release of export news. It is expected that the domestic urea market prices will remain strong in the short term.

In early April, the supply of epichlorohydrin in the market was tight, and prices showed an upward trend. In mid April, the epoxy chloropropane plant resumed operation, with increased market supply and good downstream procurement demand. Under the favorable supply and demand situation, the price of epoxy chloropropane was raised. According to the monitoring and analysis system of Shengyi Society, as of April 30th, the benchmark price of Shengyi Society’s epichlorohydrin was 9000 yuan/ton, an increase of 1.12% compared to early April. At the end of April, the market price of epichlorohydrin showed a downward trend, downstream demand was weak, and enterprises mainly purchased on demand. The epichlorohydrin market remained stable. It is expected that the epoxy chloropropane market will maintain stable operation in the near future.

Price influencing factors:
Raw material side: In mid April, the market price of glycerol raw material increased, the low-priced supply decreased, and the supply was tight, which provided strong support for glycerol based epichlorohydrin enterprises and led to an increase in prices. In early April, some of the propylene raw material enterprises underwent equipment maintenance, resulting in tight market supply and price increases. In late April, the demand for raw material propylene decreased in actual orders, the trading focus weakened, and market prices showed signs of fluctuating decline. Overall, the raw material support for epichlorohydrin has shifted from strong to weak, and it is expected that the epichlorohydrin market will remain stable and consolidate in the near future. According to the market analysis system of Shengyi Society, as of April 30th, the benchmark price of propylene in Shengyi Society was 6610.75 yuan/ton, a decrease of -200% compared to the beginning of this month (6745.75 yuan/ton).
Supply side: Last week, overall, the operating rate remained at around 50-60%, and the supply side was slightly loose.
Downstream demand side: In early April, the downstream epoxy resin market supply remained normal, with a capacity utilization rate of over 50%. The overall trading atmosphere has improved, the purchasing atmosphere is positive, and the market is dominated by behavior. In late April, the supply of epoxy resin market was sufficient, and the downward trend of dual raw materials provided weak support for its cost. In addition, the pre holiday stocking ended, overall inquiries decreased, and the trading atmosphere was cold, resulting in a downward trend in the market. Overall, the downstream demand side’s support for epichlorohydrin has shifted from strong to weak, and it is expected that the epichlorohydrin market will remain stable and stable in the near future. More attention should be paid to the market supply and demand relationship.
Market forecast: Business Society’s epoxy chloropropane analyst believes that the pre holiday stocking has ended, the market supply and demand support is insufficient, downstream demand is weak, and on-demand procurement is required. It is expected that the epoxy chloropropane market will maintain stable operation in the near future, and more attention still needs to be paid to market supply and demand changes and raw material market dynamics.