SunSirs: The Formaldehyde Market in Shandong Rose Slightly Due to Cost Support

Price trend

According to the monitoring of the bulk data of SunSirs, the average price of formaldehyde in Shandong on the 7th was 863.33 RMB/ton, and the average price of formaldehyde in Shandong on the 8th was 866.67 RMB/ton, an increase of 0.39%. The current price fell by 0.76% month-on-month and fell by 24.42% year-on-year.

Analysis review

Recently, the domestic formaldehyde market price has risen slightly. As of July 8, the mainstream factory offers in central China were around 950 RMB/ton, the mainstream manufacturers in northern China were at 750 RMB/ton, and the prices in eastern China were 890 RMB/ton. Linyi Jinyuan Chemical has two production lines for formaldehyde, with an annual production capacity of 80,000 tons, the formaldehyde content is 37%, and the operating rate is 50%. Recently, the market of formaldehyde in Shandong has risen slightly. The start-up of formaldehyde enterprises has been basically stable. The market supply is acceptable. The atmosphere of trading on the market is general. The market of formaldehyde has risen slightly.

Upstream methanol situation: methanol market conditions showed regional differences. Some installations in the northwest region were shut down for maintenance, and some upstream factories regretted the sales mentality. In addition, the methanol futures price rose, and manufacturers actively pushed up. In terms of inventory, ports and inland inventories accumulated again this week. Later imports remained at the level of one million tons. Destocking in the short term is hopeless. High inventories continued to suppress methanol prices; the demand side was mainly stabilized, and it is difficult to increase significantly in the short term. In general, high inventories have an impact on the favorable factors for maintenance, and the domestic methanol market is volatile.

Downstream timber boards have entered the traditional off-season, terminal demand continues to shrink, the market trading atmosphere is relatively mild, formaldehyde companies are actively shipping, driven by the strong upstream, the market rose slightly.

Market outlook

Recently, the price of upstream methanol fluctuated upwards, and under the support of costs, formaldehyde companies passively increased. Therefore, the formaldehyde analysts of SunSirs predict that the recent domestic formaldehyde prices will mainly rise.

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