SunSirs: Downstream Cautiously Waits and Sees, Acrylic Acid Prices Fall

This week, the acrylic acid market has seen a significant and wide decline. The formation of this trend is mainly affected by the cautious wait-and-see attitude of the downstream market.

As of June 4, the benchmark price of acrylic acid in SunSirs was 7333.33 RMB/ton, down -6.38% from the beginning of this month (7833.33 RMB/ton).

Supply and demand side:

The production supply of acrylic acid is relatively sufficient, but downstream demand has not kept up with this rhythm. Downstream customers generally adopted a more cautious purchasing strategy in the face of market uncertainty, resulting in insufficient market demand for acrylic acid. This imbalance between supply and demand has further aggravated the decline in acrylic acid prices.

From a technical perspective, the production technology of acrylic acid is relatively mature and the market competition is fierce. In order to compete for market share, some manufacturers have to adopt a price reduction strategy, which has further driven the decline in acrylic acid prices.

Cost side:

Raw material propylene: Affected by the weakening of crude oil and the restart of the PDH unit, the price of propylene fell to 6555.75 RMB/ton, and the acrylic acid cost line moved further downward.

Looking ahead:

The trend of the acrylic acid market will depend on the combined effect of multiple factors. On the one hand, the degree of recovery of downstream demand will directly affect the price trend of acrylic acid. If downstream demand can gradually pick up, the price of acrylic acid is expected to stabilize and rebound. On the other hand, changes in the macroeconomic environment will also have an important impact on the acrylic acid market. If the global economic situation can stabilize, the acrylic acid market is also expected to usher in new development opportunities.

In summary, the wide decline in the acrylic acid market this week was mainly affected by the cautious wait-and-see attitude of downstream. In the future, the trend of the acrylic acid market will depend on the combined effect of multiple factors, and all parties need to keep a close eye on market dynamics.

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