Price trends

According to monitoring by the Commodity Market Analysis System of SunSirs, the price of potassium sulfate (50% content) was 4,100 RMB/ton at the beginning of the week and 4,083 RMB/ton at the weekend, representing a decline of 0.41%.

Market Analysis

The market price of potassium sulfate remained sluggish this week. The delivered price for Qinghai 50% powdered potassium sulfate was approximately 3,700 RMB/ton, while the average ex-factory prices for Mannheim-process 50% and 52% powdered potassium sulfate stood at around 4,050 RMB/ton and 4,350 RMB/ton, respectively. Constrained by the off-season for downstream agricultural demand, overall market trading was limited and there was insufficient momentum for significant price increases; consequently, prices are expected to consolidate at high levels in the short term.

Cost Support: Prices for the primary raw materials of potassium sulfate remain high; combined with production cuts by some manufacturers, this provides strong cost-side support, leading producers to generally hold firm on prices. However, as it is currently the off-season for agricultural demand, downstream requirements for compound fertilizers and direct agricultural application are weak. With limited downstream acceptance of high prices, market activity is dominated by small, on-demand orders, resulting in a situation where prices remain high but actual trading volume is low.

Market Overview and Outlook

Trading activity in the potassium sulfate market remains limited, and domestic potash prices are expected to exhibit a fluctuating, slightly bearish trend in the short term.

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