Price trend

This week, the acrylic acid market showed a supply-demand game, and the overall operation remained stable. On the supply side, some manufacturers adjusted their production plans to cope with changes in market demand; On the demand side, downstream users also exhibit a certain degree of flexibility in their procurement strategies. As of May 7th, the benchmark price of acrylic acid in SunSirs was 7,500.00 RMB/ton, a decrease of 0.44% compared to the beginning of this month (7,533.33 RMB/ton).

Analysis review

Supply side: Capacity release and maintenance coexist: Some newly added production capacity in China (such as Zhejiang Petrochemical Phase II) was gradually being released, but some enterprises maintained operating rates of 70% to 80% due to equipment maintenance or environmental restrictions, and the overall supply had not shown significant growth.

Demand side: Weakness in the construction sector: The sluggish real estate industry led to weak demand for coatings and mortar additives.

Packaging and textile stability maintenance: The demand for packaging adhesives and hygiene materials (such as high water absorbent resins for diapers) was stable, supporting the rigid demand for acrylic acid.

Export increment: The recovery of manufacturing industries in Southeast Asia and other regions has driven an increase in export orders, with some enterprises increasing their export share to 20% -30%.

Prudent procurement strategy: Downstream enterprises mainly purchased on demand, with low willingness to hoard goods, and market transactions mainly consist of small and medium-sized orders.

Fluctuations in raw material prices: The price of propylene was affected by the high volatility of crude oil (such as Brent crude oil in the $8,085/barrel range), and the cost support of acrylic acid was strong. The profit margin of enterprises was about 500,800 RMB/ton, and there was no significant price reduction motivation. As of May 7th, the benchmark price of propylene in SunSirs was 6,685.75 RMB/ton, an increase of 1.75% compared to the beginning of this month (6,570.75 RMB/ton).

Prediction of future trends

Short term (1-3 months): Under weak supply-demand balance, the price of acrylic acid may continue to fluctuate narrowly, with an expected fluctuation range of 200,500 RMB/ton.

In summary, the stable operation of the acrylic acid market was the result of the combined effects of supply side quantity control, demand side rigid demand support, and high cost. Despite the lack of unilateral upward momentum, the downward space was also limited, and in the short term, the market may maintain a stalemate of "top and bottom". It is recommended that participants in the industry chain closely monitor the pace of capacity release, fluctuations in crude oil prices, and downstream inventory replenishment behavior to avoid potential risks.

If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.