Price trend
According to the SunSirs commodity market analysis system, as of October 24th, the average price of bulk dichloromethane in Shandong Province was 1,692 RMB/ton, a slight decrease of 0.45% over the previous period, but a year-on-year plunge of 37.08%, placing the overall price at a historical low. The core contradiction in the market lay in strong overall supply and weak demand, but regional supply fluctuations were leading to different market expectations.
Analysis review
Shandong's market was weak and declining: As a major producing region, Shandong's market was experiencing ample supply, leading to weak downstream purchasing activity. To secure limited orders, stockholders were increasingly resorting to competitive bidding, putting downward pressure on prices. However, the anticipated reduction in supply from East China had tempered bearish sentiment, leading to a relatively stable price outlook.
Supply side: operating rate increased, supply pressure was significant
The operating rate of the methane chloride industry increased during the week, and the load of corporate equipment increased, resulting in a significant increase in market supply, which became the main factor suppressing price increases.
Cost side: Support strength varied, overall weak
Methanol: High port inventories, high supply, and weak demand continued to weigh on the market, causing methanol prices to fluctuate narrowly and decline. As of October 24th, the benchmark price of methanol on SunSirs was 2,256 RMB/ton, a 2.93% decline over the period. As a key raw material, the weakening of methanol had deprived dichloromethane of its crucial cost support.
Raw material liquid chlorine: Due to reduced supply and increased demand in Shandong region, prices had risen, providing mild bottom support for dichloromethane, but not enough to reverse the downward trend.
Demand side: overall performance was poor, and follow-up motivation was insufficient
Purchasing demand in downstream industries (such as refrigerants, pharmaceuticals, and solvents) remained sluggish, resulting in a quiet trading atmosphere. The market was characterized by "on-demand purchasing," lacking the motivation for large-scale inventory replenishment and unable to effectively absorb the current supply increase.
In September 2025, dichloromethane exports increased by 39.75% month-on-month to 18,829,986 tons, indicating strong international demand, which reduced supply pressure in the domestic market. Imports increased by 430.56% month-on-month, but the absolute value was only 56,542 tons, which had little impact on domestic supply and demand.
Market outlook
Overall, the dichloromethane market was facing the triple pressures of high supply, weak demand, and limited cost support. In the short term, the market is expected to continue its weak consolidation pattern.
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