Price trend

According to the monitoring data of SunSirs, the overall price of caustic soda fell in January. At the beginning of the month, the average price of caustic soda in the Shandong market was 1,128 RMB/ton, and at the end of the month, the average price of caustic soda in the Shandong market was about 1,098 RMB/ton, down 2.66%, and up 19.67% from the same period last year.

The caustic soda commodity index on January 30 was 158.27, which was the same as the previous day, down 40.38% from the highest point of 265.47 points (2021-10-27) in the cycle, and up 143.08% from the lowest point of 65.11 points on October 9, 2020. (Note: the period refers to September 1, 2011 to now)

Analysis review

According to the survey data of SunSirs, on the 31st, the mainstream of domestic caustic soda prices maintained stable operation and adjusted sporadically. The average market price in Shandong was about 1,000-1,160 RMB/ton. The ex-factory price of 32% liquid caustic soda of the mainstream in Hebei was about 1,150-1,200 RMB/ton.

The price of caustic soda fell this month. The main reason was t the Spring Festival. Downstream market sentiment was dominated by wait-and-see, and most of them purchased just on demand. Downstream commencement had been reduced, and the price of caustic soda in the site was weak. As the Spring Festival approaching, downstream participation had decreased. The stock preparation plan before the Spring Festival had come to an end. After the Spring Festival, there was still stock, and the purchase intention was not strong.

According to the price monitoring of SunSirs, on January 30, 2023, there were 2 commodities that rose, 2 commodities that fell, and 1 commodity that did not rise or fall in the price list of chlor-alkali industry. The main commodities rising were PVC (3.03%) and light soda ash (0.38%); The main commodities falling were hydrochloric acid (-11.49%) and calcium carbide (-0.87%). The average daily rise and fall was -1.79%.

Market outlook

Analysts from SunSirs believe that the price of caustic soda has been adjusted sporadically recently, because the downstream construction has not yet fully recovered after the Spring Festival, and some regions still have inventory pressure and supply and demand gamed. It is expected that caustic soda will be mainly operated in consolidation, depending on the downstream market demand.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com