SunSirs: Downstream Demand is Flat, and Acetic Acid Prices Continued to Fall in Early June

According to the commodity market analysis system of SunSirs, as of June 11, the average price of acetic acid was 2,553.33 RMB/ton, down 146.67 RMB/ton from the price of 2,700 RMB/ton on June 1, a drop of 5.43%

In early June, the acetic acid market was weak and downward, and corporate quotations continued to fall. On the supply side, acetic acid production capacity utilization increased, corporate inventory accumulated, and the industry had a strong intention to ship; from the demand side, the downstream was mostly wait-and-see, and small purchases were made on demand. The trading atmosphere in the market was light, acetic acid holders were not shipping smoothly, and acetic acid prices continued to fall.

As of June 11, the acetic acid market prices in various regions are as follows:

The upstream methanol market is strong. From June 1 to 11, the average domestic market price increased from 2250 RMB/ton to 2363 RMB/ton, an overall increase of 5.02%. At the end of last month, methanol prices fell to a low level, downstream market enthusiasm increased, and holders were optimistic. At the same time, the methanol market in coastal areas was boosted by policies, and methanol prices rebounded from a low level, but some downstream companies were resistant after the rise, and the basis fell.

The downstream acetic anhydride market was weak and downward. The average ex-factory price of acetic anhydride on June 11 was 4392.50 RMB/ton, down 1.13% from the price of 4442.50 RMB/ton on June 1. The upstream acetic acid market continued to fall, the cost support of acetic anhydride was insufficient, the downstream purchasing enthusiasm was not high, the market trading atmosphere was weak, and the acetic anhydride price was weak during the cycle.

Forecast for the future market, acetic acid analysts at SunSirs believe that the current acetic acid market supply has increased, the supplier has great pressure to ship, the downstream demand is limited, and the enthusiasm for taking goods is not high. The market supply and demand game is expected to be mainly weak in the short term. Pay special attention to the changes in the equipment and the follow-up of the downstream.

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