ECHEMI Analysis

This week (Mar 2-5), the Chinese PVC market was strong, with futures rising and driving up spot prices The resumption of downstream operations and a rush for exports supported market sentiment In the East China region, the price of PVC (calcium carbide method, SG-5) increased by 361%, with prices ranging from 4850 to 4900 CNY per ton

• PVC market: prices rise
• inventories remain high
• demand picks up.

The geopolitical conflicts in the Middle East have led to a dual squeeze on the dichloromethane market. On one hand, the rising prices of methanol and liquid chlorine have increased production costs. On the other hand, the Middle Eastern market, which accounts for 22.3% of total exports, is facing shipping risks. As of March 5, the price of dichloromethane in Shandong has risen by 19.37% compared to the beginning of the month, with the market caught in a dual struggle between costs and exports.

• Middle East geopolitical conflicts
• dichloromethane market
• cost increases
• export disruptions

From March 1st to 5th, the market price of cyclohexanone in Shandong, China, continuously increased, with a cumulative increase of 950 CNY/ton, and the current price is 8,250-8,350 CNY/ton The rise in production costs was driven by geopolitical tensions and an increase in the price of pure benzene, while tight supply and recovering demand supported the prices In the short term, prices are expected to remain high, with the possibility of a slight increase

• Cyclohexanone price
• cost support
• supply-demand relationship
• market forecast

This week, the price of ammonium sulfate in China's market has significantly increased. On March 5th, the average price of caprolactam-grade ammonium sulfate was 1328 CNY/ton, an increase of 9.18% from March 1st. Due to the rise in international urea prices and tight supply, downstream buyers are actively restocking, leading to a strong bullish sentiment in the market. It is expected that the price of ammonium sulfate will remain firm in the short term.

• Ammonium sulfate prices
• market trends
• supply and demand situation
• future market forecast

In early March, influenced by the rise in the prices of raw materials such as benzene and cyclohexanone, the adipic acid market heated up, with the average market price reaching 8,700 CNY/ton, a 4.82% increase from the beginning of the month. With strong cost support and tightening supply, analysts expect that adipic acid prices may continue to rise in the short term.

• Cost support
• adipic acid market conditions
• raw material market conditions
• supply tightening

Recently, prices in the plastics sector have risen sharply. As of March 4, the price of LLDPE (7042) stood at 7,325 CNY per ton, representing a price increase of 10.71%; the price of PP fiber-grade resin reached 7,320 CNY per ton, with a price increase of 9.85%; and the price of ABS was 10,016.67 CNY per ton, up 12.21%.

• Plastic prices
• raw material supply
• market analysis
• price increase

Recently, geopolitical tensions have escalated, yet the lithium carbonate market has not seen the frenzied price surge it experienced in 2022 The recent plunge in lithium prices is primarily driven by factors such as growing concerns in the Middle East’s energy storage market, declining sales of new-energy vehicles, a concentrated influx of lithium carbonate into ports in Chile, and export restrictions imposed by Zimbabwe

• Lithium carbonate market
• Geopolitical conflicts
• New energy industry
• Supply and demand changes

In March, the market price of hydrofluoric acid in China slightly increased by 0.77% to 13,166.67 CNY per ton. The supply of raw material fluorspar is tight, and prices are under pressure at high levels; the price of sulfuric acid rose by 3.31%, increasing production costs. It is expected that the losses of hydrofluoric acid producers in China will increase, limiting their ability to raise prices.

• Hydrofluoric acid market
• cost pressure
• raw material supply
• price fluctuation

Recently, the market price of maleic anhydride in China has risen significantly As of March 4th, the average market price of maleic anhydride produced by the n-butane oxidation method reached 596250 CNY/ton, an increase of 1250% compared to March 1st

• Geopolitics
• Maleic Anhydride Market
• Cost Increase
• Downstream Resumption of Work

The recent formic acid market in China has been stable, with the price of 85% industrial grade formic acid maintaining at 2,450 CNY per ton. Both supply and demand sides are engaged in a mild game, keeping the market in a dynamic balance. It is expected that in March, due to plant maintenance and production halts, the supply will slightly decrease, and the recovery of downstream demand may support a rise in prices.

• Formic acid market
• supply-demand balance
• expectations of price increases
• plant maintenance and shutdown plans

In early March 2026, the price of n-butanol in Shandong, China, rose strongly from 6,033 CNY/ton on March 1st to 6,480 CNY/ton on the 4th, a 7.40% increase. The main factors driving this rise were geopolitical tensions in the Middle East, increased costs, and the recovery of downstream demand. It is expected that prices will remain relatively strong in the short term.

• Geopolitical conflicts
• n-butanol market conditions
• cost transmission
• recovery of downstream demand

This week, the melamine market in China was affected by the geopolitical events in the Strait of Hormuz and the demand for spring plowing, causing the price to rise rapidly to 6150 CNY/ton, with a price increase of 4.05%. The cost transmission chain and tight supply and demand supported the high price fluctuation. In the short term, it is expected to maintain a range of 6100-6400 CNY/ton, and in the medium term, it may fall back to 5800-6100 CNY/ton.

• Melamine
• Geopolitics
• Rising Costs
• Supply-Demand Relationship

On March 4, influenced by the geopolitical conflict in the Middle East, China's SC crude oil futures surged by 1399%, significantly premium over Brent and WTI, reaching $1135 per barrel and $1819 per barrel, respectively This was mainly due to the sharp rise in maritime freight rates, the divergence in pricing of geopolitical risks, and support from near-month deliveries The market is closely watching the navigation situation in the Strait of Hormuz and the direction of US

• Middle East geopolitical conflict
• crude oil futures premium
• China SC crude oil
• supply risk premium

After the Spring Festival, the Chinese acrylonitrile market rebounded from the bottom due to increased cost pressures, with prices increasing by about 200 CNY per ton Geopolitical risks in the Middle East led to increases in crude oil and propylene prices, further driving up costs Some plants conducted planned maintenance, reducing supply and supporting market prices In the short term, the impact on exports is limited, but in the long term, it may be affected by rising freight costs

• Geopolitical risks
• Acrylonitrile prices
• Cost-driven
• Supply-side impacts

Affected by geopolitical developments, rising prices of crude oil and PTA have driven up the cost of polyester bottle flakes, with the average spot price in East China reaching 6,667 CNY per ton. Reduced supply, recovering demand, and tight inventory levels continue to support price fluctuations at high levels. In the short term, prices are expected to remain volatile but generally strong.

• Geopolitical situation
• polyester bottle chip prices
• crude oil prices
• supply cuts

Affected by the escalating geopolitical situation in the Middle East, international crude oil prices have risen sharply, boosting the spot market for cis-1,4-polybutadiene rubber As of March 3, the price of cis-1,4-polybutadiene rubber in the East China region had risen by 507% from the beginning of the month to 13,670 CNY per ton

• cis-butadiene rubber
• crude oil prices
• Middle East situation
• inventory pressure

March 3, the average market price of pure benzene in China rose to 6,620 CNY/ton, an increase of 4.2% from the previous day. Affected by the conflict in the Middle East and the rise in crude oil prices, the price of pure benzene also strengthened. Sinopec's listed price was raised to 6,600 CNY/ton, and the factory prices of local refineries in Shandong were mostly between 6,600-6,700 CNY/ton. In the short term, the pure benzene market in China is expected to remain strong.

• Pure benzene price
• crude oil futures
• market analysis
• chemical products

In February 2026, the market price of cyclohexanone in Shandong, China, rose steadily from 6900 CNY/ton at the beginning of the month to 7250 CNY/ton at the end of the month, with a price increase of 507% The main reasons for the price increase were strong cost support, improved supply and demand dynamics, and a boost in market sentiment In the short term, prices are expected to remain high, but there is a need to be cautious about potential downward pressure

• Cyclohexanone prices
• improving supply and demand
• cost support
• boosted market sentiment

This round of acrylic acid price increase is mainly driven by the cost rise triggered by geopolitical risks in the Middle East, rather than a supply shortage As of March 3rd, the price of acrylic acid has risen by 367% compared to the beginning of the month

• Middle East geopolitical risks
• acrylic market
• cost-driven
• impact of oil prices

Affected by the escalation of the Middle East conflict, international crude oil prices have surged, leading to a significant increase in China's gasoline and diesel prices Gasoline and diesel prices at Shandong’s local refineries have risen markedly, and several refineries are planning to cut production The market is witnessing hoarding behavior, while the resumption of spring farming and logistics activities has boosted underlying demand

• Middle East conflict
• international crude oil prices
• China's refined oil market
• supply tightness