According to the Commodity Market Analysis System of SunSirs, from August 8th to 14th, MTBE prices fell from 5,120 RMB/ton to 5,060 RMB/ton, with a price drop of 1.17% during the cycle, a month on month increase of 1.45%, and a year-on-year decrease of 22.60%. After reaching a temporary high, the MTBE price has cooled down the market trading atmosphere, and the purchasing willingness of some operators has weakened, leading to a slight decline in prices. But as the market adjustment narrowed, prices quickly stabilized again.

Cost aspect: In terms of crude oil, the international oil price has fallen, mainly due to negative factors such as market attention to the US Russia summit, the possibility of further easing of geopolitical tensions, and the International Energy Agency's downward adjustment of global demand growth forecasts, all of which have put pressure on the oil market. As of August 13th, the settlement price of Brent crude oil futures for the October contract was $65.63 per barrel.

Demand side: In terms of downstream gasoline, international crude oil futures prices have fluctuated and fallen, and the refined oil market is weak and declining. The main reason is that the weakness of crude oil has a negative impact on the oil market, coupled with the average performance of terminal demand at the current stage, and cautious ordering operations by middle and downstream merchants, making it difficult to complete large market transactions. Therefore, refineries can only offer price reductions and promotions, but due to the current low production and inventory of most refineries, the decline in gasoline and diesel prices is estimated to be limited. The MTBE demand side is affected by bearish factors.

Supply side: Henan MTBE manufacturer Haier Xi and Huizhou Yuxin plant have started construction, while Fujian Shengtong, Bengu New Materials, and Yuhuang Shengrong plant have stopped production. Overall, the plant operating rate has declined, and resource supply has fluctuated sporadically. The short-term domestic MTBE supply is affected by favorable factors.

As of the close on August 13th, the closing price of the Asian MTBE market was $11.83/ton lower than the previous trading day, and FOB Singapore closed at $649.84-651.84/ton. The closing price of the European MTBE market increased by $2/ton compared to the previous trading day, and FOB ARA closed at $805.99-806.49/ton. The closing price of the MTBE market in the United States decreased by $1.42/ton compared to the previous trading day, and the FOB Gulf offshore price closed at $748.13-748.48/ton (211.24-211.34 cents/gallon).

The current high cost prices and limited shipments from some manufacturers, as well as reduced resource supply, provide support for the future market forecast. However, the demand side is relatively stable, and there is little obvious positive news. The MTBE analyst from SunSirs believes that the domestic MTBE market is mainly focused on consolidation.

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