SunSirs: China's Raw Salt Market Operates Steadily Overall in November

By region, industrial salt ex-factory prices in Chongqing, Shandong, Hunan, and Ningxia rose in November 2025 compared to October 2025; Hubei and Sichuan saw factory-gate prices for industrial salt remain unchanged from October 2025;

Shaanxi, Anhui, Jiangsu, Jiangxi, Henan, Xinjiang, Hebei, Qinghai, Yunnan, and Tianjin recorded declines in factory-gate prices for industrial salt compared to October 2025.

By price range, one region—Yunnan—had an industrial salt unit price of 300 yuan/ton or higher during this period; Fifteen regions recorded industrial salt unit prices below 300 yuan/ton: Shaanxi, Anhui, Jiangsu, Hubei, Jiangxi, Henan, Chongqing, Xinjiang, Hebei, Shandong, Hunan, Qinghai, Sichuan, Tianjin, and Ningxia.

China's raw salt market operated steadily overall in November. Despite minor seasonal and regional supply-demand adjustments, the overall market structure remained unchanged, with transaction prices fluctuating within a narrow range. On the supply side, the autumn harvesting season in major sea salt production areas has largely concluded, slowing regional output growth. Current market supply primarily relies on stockpiled salt. Given that most salt enterprises maintain reasonable inventory levels, market supply remains ample. Well and mine salt producers operated production facilities at sustained high capacity throughout the month. Although scheduled equipment maintenance in some regions caused temporary supply reductions locally, the impact on the national supply landscape was relatively limited. Lake salt supply remained slightly constrained by environmental factors, with accelerated transactions in some areas driven by winter stockpiling demand. On the demand side, downstream soda ash and caustic soda industries continued to focus on essential procurement, maintaining cautious market sentiment. While some chlor-alkali enterprises resumed operations after maintenance, lifting purchase volumes slightly, overall market activity remained subdued due to slow release of new demand from end-users operating at low capacity.

Specifically, the sea salt market maintained a weak stability throughout the month, characterized by ample supply and narrow price fluctuations. On the supply side, autumn salt harvesting in major production areas like Hebei, Shandong, and Jiangsu has largely concluded, with only a few enterprises in Tianjin and Liaoning still in the final stages. Most producers have shifted to inventory liquidation. Thanks to the orderly progress of the autumn production season, salt enterprises now hold generally reasonable and ample inventory levels, providing sufficient spot reserves for the market. On the demand side, downstream soda ash and caustic soda industries maintained essential procurement. Starting mid-month, as maintenance at some chlor-alkali plants in Shandong and other regions concluded, the rebound in procurement demand effectively supported the local sea salt market. However, with industry profits under pressure, overall purchasing sentiment remained subdued. Most buyers replenished stocks only as needed, with no concentrated stockpiling observed. In contrast, sea salt producers maintain a relatively proactive shipping stance. In some regions, earlier low pricing and gradually depleting inventories have strengthened their willingness to support prices, driving modest increases in local transaction prices. Overall, market transactions are primarily contract-based, with price fluctuations limited by rigid demand support. The market exhibits characteristics of “high inventory, slow destocking, and stable prices.”

For well and mine salt, major production facilities nationwide maintained high operating rates in November. Supply remained generally stable in key producing regions including North China, East China, Central China, and Northwest China. However, localized supply tightened temporarily in some areas due to facility maintenance. Regionally, supply contracted early in the month due to maintenance at some enterprises in Hubei and Henan. As maintenance concluded mid-month, supply gradually recovered. By month-end, planned shutdowns at salt producers in Sichuan and Jiangsu led to renewed regional supply contraction. Overall, market supply experienced frequent fluctuations this month without significantly disrupting the national supply landscape. On the demand side, downstream soda ash and caustic soda markets saw generally subdued transaction activity. Combined with some soda ash plants yet to resume production, manufacturers maintained high shipping enthusiasm but actual transaction paces remained relatively moderate. Market procurement remained driven primarily by essential demand, lacking incremental support. Amidst supply-demand dynamics, inventories in some regions showed slight accumulation. Regarding pricing, while some enterprises expressed willingness to raise prices due to cost pressures—particularly as coal price increases further squeezed profit margins—downstream acceptance of higher-priced goods remained limited. The overall market transaction center struggled to shift upward, resulting in a weak and stable trend for mainstream well and mine salt prices throughout the month.

This month, the lake salt market maintained its steady operational momentum overall, with stable supply-demand dynamics and limited price fluctuations. On the supply side, enterprises continued to implement a “production based on sales” strategy, effectively managing inventory levels through flexible production adjustments to ensure orderly market supply. Within the month, localized production tightening occurred in certain northwestern regions due to phased factors such as environmental production restrictions and increased winter stockpiling demand from downstream enterprises. However, this did not significantly impact overall market supply, which remained stable. On the demand side, downstream industries primarily executed long-term contracts, maintaining stable overall demand. Entering November, as winter stockpiling needs from some downstream enterprises gradually materialized and certain previously-maintained facilities resumed production, market procurement accelerated. This spurred a localized recovery in transaction activity, supporting firm lake salt prices.

In the downstream soda ash sector, the domestic market exhibited narrow fluctuations throughout November. Early in the month, conditions remained relatively stable despite slightly tight supply-demand dynamics. Some manufacturers attempted modest price hikes amid persistent losses, but weak downstream demand led to transactions primarily at lower price points. By mid-month, supply pressures eased as some enterprises conducted maintenance or reduced production rates. Coupled with rising coal costs, most producers strengthened their price-holding stance, with tentative small increases observed in some regions. Near month-end, supported by costs and pending orders, soda ash prices stabilized. Market supply met demand, transactions remained steady overall, and price trends flattened.

From a supply-demand perspective, although soda ash production declined month-on-month, it remained at a high level year-on-year, indicating persistent long-term supply pressure. Demand showed divergent characteristics: replenishment demand for light soda ash remained relatively stable, with some tight supply, while demand for heavy soda ash gradually weakened due to concentrated cold repairs of float glass production lines and fluctuations in photovoltaic glass supply. Regarding inventory, although corporate stockpiles decreased during the month, they remained at relatively high levels compared to recent years, with ongoing pressure on shipments from mid-to-upstream players. In contrast, the export market performed notably well. Driven by low domestic prices, cumulative exports for the first ten months saw a significant year-on-year increase, potentially becoming an important avenue to alleviate domestic demand pressure.

For liquid caustic soda, the domestic market exhibited a moderate trend this month. Compared to October's high-level stability, the supply-demand dynamics showed slight easing. Specifically, most operating plants maintained high production rates throughout the month. Combined with the gradual restart of previously maintained facilities, liquid caustic soda output remained relatively high, ensuring ample market supply. Some enterprises began experiencing inventory pressure. On the demand side, operating rates in the main downstream alumina industry saw a slight decline. Demand from non-aluminum sectors such as papermaking and printing also weakened slightly compared to earlier periods. Enterprises adopted a wait-and-see attitude, with procurement driven primarily by essential needs. Although production in downstream industries remained generally normal, the market lacked significant incremental demand support. Compounded by the entry of alumina enterprises into a new round of order negotiations at month-end, market trading activity further decreased, leading to minor downward adjustments in liquid caustic soda prices.

For flake caustic soda, the domestic market maintained ample supply in November with relatively moderate transaction activity. On the supply side, production facilities in Northwest China that underwent earlier maintenance gradually resumed operations, steadily increasing flake caustic soda output and expanding market supply. Facilities in North China, East China, Central China, and Southwest China operated stably overall. While some localized maintenance schedules affected certain plants, their impact on the overall supply landscape remained limited. On the demand side, downstream alumina production remained stable, but enterprises continued to prioritize contract fulfillment over spot purchases. Spot procurement enthusiasm was generally low, with some regions seeing reduced purchase prices, weakening support for the caustic soda flakes market. Non-aluminum industries like textile printing and dyeing, and papermaking maintained essential-need purchasing patterns, with most enterprises buying only as needed and no significant stockpiling observed. Cost-wise, the liquid caustic soda market features ample supply and price pressure, providing insufficient cost support for caustic soda flakes. Overall, amid sustained supply growth and lackluster demand, the market is dominated by a wait-and-see attitude this month. With limited upward momentum, transaction prices are expected to maintain a moderate trend.

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