SunSirs: Acetone Fell more than it Rose in May, and it is still Difficult to have Good News in June

In May, the domestic acetone market was mainly down. The East China acetone market was quoted at 5,750 RMB/ton on May 1, and fell to 5,450 RMB/ton on May 30, a drop of 5.22%. From the perspective of the national acetone market, there is room for the same degree of decline.

In early May, crude oil fell sharply, the market bottomed out and rebounded, and the acetone market rebounded quickly after falling. After the May Day holiday, crude oil fell below the 60 mark during the holiday, and benzene fell sharply. Affected by the negative impact of the cost of raw materials, acetone traders were under pressure to quote downward. The products of the entire petrochemical industry chain all fell to varying degrees.

After approaching 5,500 RMB/ton, the downstream terminal factories digested the holiday inventory, and the factory procurement pace accelerated, causing acetone to bottom out and rebound. Boosting acetone again, and during this period, petrochemical companies concentrated on raising the listing price, and the low supply in the market was limited. In mid-May, acetone rose to a monthly high of 5,850 RMB/ton.

Demand is difficult to sustain, and the market continued to bottom out in the second half of the month. In late May, terminal factories still replenished on demand, upstream fluctuations were not large, the market atmosphere was tepid, most of the actual orders were small orders, traders had little intention to sell at a low price, the entire market was not active, and the focus of negotiations was deadlocked.

As the end of the month approaches, it is difficult to have good news in the later period, and the overall trend is downward. At the end of the month, the market fell to the lowest level of the month, and the negotiation in East China was 5,450 RMB/ton.

The acetone quotations of major mainstream markets across the country on May 30 are as follows:

In terms of devices in May: Huizhou Zhongxin Phase I and Phase II phenol ketone devices were shut down and switched on May 6, Sinopec Tianjin Petrochemical's 350,000 tons/year phenol ketone device was shut down on April 21, and is expected to be repaired for 45 days; Shandong Fuyu's 250,000 tons/year phenol ketone device was shut down from May 18 to 27; Bluestar Harbin's 150,000 tons/year phenol ketone device was shut down for a week at the end of the month.

It is expected that June will still be weak.

From the supply side, Zhenhai Refining and Chemical's phenol ketone device plans to produce products in late June, and the domestic supply of acetone will increase.

From the import perspective, Saudi Arabia's equipment is shut down for maintenance, the Middle East supply is limited, and Thailand's import resources are normal. At present, the import volume has decreased slightly.

From the demand perspective, downstream bisphenol A and isopropanol equipment have increased, but overall procurement is still mainly on demand.

From the cost perspective, the external environment is still weak, and pure benzene is still expected to continue to decline, which is difficult to support acetone. It is expected that the acetone market will continue to operate weakly in June.

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