Phthalic anhydride prices fluctuated and fell last week
According to SunSirs’ Commodity Market Analysis System, as of August 15th, the price of OX method phthalic anhydride was 6,300 RMB/ton, a 3.82% decrease from the 6,550 RMB/ton on August 8th. Last week, OX prices fluctuated downward, as did industrial naphthalene prices. Declining phthalic anhydride costs increased downward pressure on prices. Last week, phthalic anhydride equipment load decreased, with the operating rate of phthalic anhydride plants decreasing slightly by 3%. This reduced phthalic anhydride supply led to a volatile decline in downstream plasticizer prices, but increased equipment utilization at plasticizer plants, supporting stronger demand for phthalic anhydride. This combination of reduced supply, rebounding demand, and lower costs led to a volatile decline in phthalic anhydride prices last week.
Phthalic anhydride costs fell and supply was sufficient
As of August 15th, Sinopec's OX price was 6,400 RMB/ton, a 3.03% decrease from the previous weekend's 6,600 RMB/ton. Industrial naphthalene prices fluctuated downward, along with OX prices. Declining costs for phthalic anhydride increased downward pressure on phthalic anhydride prices, with naphthalene-based phthalic anhydride prices ranging from 6,100 to 6,200 RMB/ton and OX-based phthalic anhydride prices ranging from 6,200 to 6,400 RMB/ton. Phthalic anhydride equipment operating rates decreased in August, with the operating rate of phthalic anhydride plants falling to 60%, reducing phthalic anhydride supply.
Demand Side: Downstream production capacity decreased, leading to a fluctuating decline in DOP prices
According to the SunSirs commodity market analysis system, as of August 15th, the price of DOP was 7,759.16 RMB/ton, a 0.96% decrease from the 7,834.16 RMB/ton on August 8th. Last week, most DOP plants that had been previously shut down returned to normal operations, and DOP plants were operating at a high and stable rate. Last week's high DOP operating rate, coupled with ample plasticizer production and recovering demand for phthalic anhydride, provided further support for the upward trend in phthalic anhydride prices.
Market outlook
Analysts of phthalic anhydride product data at SunSirs believe that on the demand side, plasticizer plant operations remained stable at high levels, plasticizer production was increasing, and phthalic anhydride demand was recovering. On the supply side, phthalic anhydride plant equipment operating rates were decreasing, reducing phthalic anhydride supply. Regarding costs, falling phthalate prices were also contributing to lower phthalic anhydride costs. Looking ahead, with reduced phthalic anhydride supply and recovering demand, coupled with lower costs, phthalic anhydride prices are expected to fluctuate downward.
If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.
