Price trend:

Recently, the domestic acrylic acid market exhibited a typical pattern of "pressure at the top and support at the bottom," with overall prices remaining stable, but the internal competition between supply and demand was extremely fierce. This "stability" was not a result of strong demand, but rather a relatively fragile balance formed between the cost line and the demand ceiling. As of November 19, the benchmark price of acrylic acid from SunSirs was 6,166.67 RMB/ton, unchanged from the previous week.

Influencing Factors

Cost side:

The price of propylene, the main raw material, recently rose slightly, directly increasing the production cost of acrylic acid. Under these circumstances, producers' profit margins were squeezed, and their willingness to lower prices iwa extremely low. The firm propylene price had created a solid floor for the acrylic acid market, effectively reducing the potential for a significant price drop. As of November 19th, the benchmark price of propylene from SunSirs was 6,038.25 RMB/ton, a decrease of 0.33% compared to the beginning of the month (6,058.25 RMB/ton).

Supply side:

The overall operating rate of the industry remained at a moderate level (approximately 75%). Although some units resumed production after maintenance in the early stages, the overall supply pressure was not affected.

This controllable supply situation had given producers some confidence to maintain prices. They tended to keep prices stable, or even tentatively raises them slightly, which was an important basis for the market to "stay stable".

Demand side:

Despite the support at the bottom, the market lacked the momentum for an upward breakthrough, with the core bottleneck lying on the demand side. Downstream industries (such as adhesives and coatings) were generally taking a cautious approach, with procurement primarily based on "just-in-time" purchasing and no large-scale stockpiling.

In northern regions, declining temperatures led to fewer construction sites, further weakening demand for acrylates related to building materials. This sluggish demand had failed to provide any effective impetus for price increases.

Both buyers and sellers were taking a wait-and-see approach to the market outlook. Demanders didn't believe prices would surge, so they were not in a hurry to buy at higher prices; suppliers also knew that demand was limited, and significant price increases would suppress sales.

This mentality had resulted in a generally subdued market atmosphere, making it difficult to establish a one-sided upward trend.

Market Forecast:

In summary, the acrylic acid market was in a phase of intense competition between "cost-driven" factors and "demand realities." On the cost side (rising propylene prices), an invisible hand was supporting the market from below. On the demand side (weak consumption), a ceiling was acting, limiting the upward potential of prices. As a result, market prices were locked within a narrow range, forming a "stable" situation. This consolidation pattern is expected to continue in the short term. The future market trend will depend heavily on the changing trends of upstream propylene prices and whether there are any unexpected signs of recovery in downstream demand.

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