Policy & Regulation

In May 2026, the price of ethylene oxide in China saw a significant correction, dropping from 9,000 CNY/ton at the beginning of the month to 7,600 CNY/ton. The main reasons include the decline in ethylene prices due to the fading of geopolitical premiums, lower-than-expected maintenance on the supply side, weak demand, and the impact of market funds and sentiment.

• Ethylene oxide prices
• cost support
• oversupply
• weak demand

On May 22, 2026, ethylene glycol prices experienced a significant drop, primarily due to the collapse of cost support following the US-Iran agreement, which led to a decline in crude oil prices Continued supply pressure remains, driven by revised expectations of high operating rates and increased imports in China The off-season for polyester and weak terminal demand have triggered a negative feedback loop

• Ethylene glycol prices have been reduced
• the cost side has collapsed
• there is a supply and demand imbalance
• and there is a resonance of market sentiment.

On May 21, the average market price of ammonium sulfate in China was 1,813 CNY per ton, a decrease of 6.85% from May 14. The market demand has weakened, and the export situation is poor, leading to a decline in the ammonium sulfate market. It is expected that the price of ammonium sulfate will continue to fall in the short term. Technical analysis shows that the current price is at a high level, and there is still room for further decline.

• Ammonium sulfate market
• price decline
• supply and demand situation
• future market forecast

As of May 21, the average price of industrial-grade premium cyclohexane in China was 7,383 CNY per ton, with the market operating within a narrow range. Due to weak demand, low downstream operating rates, and insufficient orders, although supply is ample, inventory levels are high. The weakening of pure benzene prices has led to a reduction in cost support, and it is expected that the market price of cyclohexane will maintain a narrow fluctuation in the short term.

• Cyclohexane
• market demand
• price trends
• cost support

On May 21, 2026, the average price of quasi-first-grade metallurgical coke was 1,677 CNY per ton. Following the implementation of the third round of price increases (+50 CNY per ton), spot market sentiment experienced a brief boost. Coke producers’ profits have begun to recover, operating rates remain high, and supply has increased. Meanwhile, coking coal prices have softened, easing cost support. It is expected that the coking coal market will experience narrow fluctuations in the short term.

• Coke Market
• Price Trends
• Cost Support
• Future Market Forecast

In mid-May, the Chinese PC market showed a narrow fluctuation, with price levels slightly increasing by 0.20% compared to the beginning of the month. The supply side saw increased support due to maintenance and reduced operating rates in enterprises, but the demand side entering the off-season led to insufficient support. The cost support for bisphenol A was moderate. It is expected that the PC market will maintain a consolidation trend in the short term.

• PC market: Both supply and demand are weak
• prices are fluctuating
• cost support is weakening.

In mid-May, the Chinese ABS market showed a weak trend, with spot prices decreasing. The supply side provided moderate support, but demand was weak, and the impact of cost factors was limited. It is predicted that prices may continue to decline in the short term, and attention should be paid to international crude oil and Middle East shipping conditions.

• ABS market
• weak consumption
• cost factors
• weakening demand

This week, the acrylic acid market in China continued to decline, with prices falling from 9,316.67 CNY/ton to 8,716.67 CNY/ton, a weekly price decrease of 6.44%. Weak demand, ample supply, and limited cost support have led to a clear bearish trend. In the short term, it is expected that the downward momentum will continue, with a support level at 8,500 CNY/ton. A turning point will require a narrowing of the spread and signals of demand recovery.

• Acrylic prices have fallen
• market demand is weak
• short positions are lined up
• supply is abundant.

Recently, the price of lithium carbonate has experienced a pullback after reaching 200,000 CNY per ton, mainly due to factors such as adjustments in inventory statistical methods, a surge in futures warehouse receipts, rumors of easing overseas supply, and a bearish report from Goldman Sachs

• Lithium carbonate prices
• inventory adjustments
• futures warehouse receipts
• resilient demand

Recently, the Chinese formic acid market has been in a weak supply-demand balance, with prices stabilizing at 2,400 CNY per ton. Supply is ample, but inventory levels are moderately high, and demand is weak. Some manufacturers have planned maintenance, which is expected to alleviate inventory pressure and support price increases. In the short term, a slight upward trend is anticipated, while long-term trends will depend on improvements in supply and demand.

• Formic acid market
• supply and demand balance
• maintenance expectations
• price forecast

Since May, the PTA market in China has been operating weakly, with prices slightly declining to 6,573 CNY per ton. Despite a significant reduction in supply due to large-scale maintenance, cost support is limited, and demand remains consistently weak, making it difficult for a short-term recovery. Analysts expect that PTA prices will continue to follow a downward trend in the short term.

• PTA market
• weakening cost support
• weak demand
• shrinking supply

The polyethylene market is showing a volatile trend in the short term, with supply gradually easing while demand remains weak The end of the peak season for agricultural films has led to a decline in demand, and although demand from sectors such as packaging and injection molding is stable, it lacks strength The cost side, with crude oil prices falling, has weakened support

• Polyethylene market: Prices fluctuate
• supply increases
• demand is in the off-season.

In the first half of May, China's PP market showed a narrow fluctuation, with the price level slightly increasing by 0.07% compared to the beginning of the month. The crude oil and propylene raw material markets were volatile, and the supply side was generally tight due to the restart and shutdown of facilities. The demand side was cautious due to resistance to high prices. It is expected that both supply and demand will be weak in the future, maintaining a consolidation trend.

• PP market conditions: weak supply and demand
• crude oil market
• cost support

In the first half of May, the dichloromethane market in Shandong, China, rose unilaterally by more than 14%, with prices reaching 2340 CNY/ton The main driving factors were supply tightness due to plant maintenance and low inventory, as well as the concentrated release of downstream demand after the holiday

• The price of dichloromethane is rising
• cost support is weakening
• the supply side is contracting
• and demand is being released in a concentrated manner in the short term.

This week, the caustic soda prices remained stable overall, with the market average price at 624 CNY/ton, a year-on-year decrease of 265% In Shandong, Zhejiang, and Inner Mongolia regions, the prices for 32% ion-membrane caustic soda (converted to 100%) were 580-680 CNY/ton, 850-900 CNY/ton, and 2200-2300 CNY/ton, respectively There was no significant improvement in supply and demand, and downstream buyers were cautious

• Caustic soda prices: market stable
• demand in the off-season
• inventory pressure.

This week, China’s polymeric MDI market prices stopped falling and began to rise, with a weekly price increase of 2.64%. On the supply side, tensions have intensified due to maintenance shutdowns at major producers. Although pure benzene prices on the cost side weakened slightly, they remained supported by oil prices. On the demand side, inquiry volumes have increased, but actual transactions remain limited. The market is expected to stabilize in the short term.

• Polymeric MDI
• market price
• tight supply
• moderate demand

This week, acetic acid prices continued their downward trend, with the average market price dropping to 3,08333 CNY per ton—a decrease of 571% Despite numerous plant maintenance activities, downstream demand remains weak, cost pressures are high, and sellers are eager to offload their inventories The price of methanol, the key raw material, has been fluctuating at high levels, putting downward pressure on acetic acid prices

• Acetic acid market
• price decline
• supply and demand competition
• raw material methanol

This week, the isopropanol market price in China fell from 8,216.67 CNY/ton at the beginning of the week to 8,141.66 CNY/ton by the end of the week, a decrease of 0.91%. The decline in the price of raw material acetone and weak terminal demand led to weaker market confidence, with downstream buyers being cautious. It is expected that the market will remain weak in the short term.

• Isopropyl alcohol market: prices decline
• demand is weak
• cost support weakens.

From May 8 to 15, the BDO price in China decreased from 8,470 CNY/ton to 8,420 CNY/ton, a price decrease of 0.59%. The increase in supply, coupled with limited growth in demand, has led to an intensification of the supply-demand contradiction. The rise in calcium carbide prices and the weak methanol market have resulted in complex cost impacts. It is expected that the BDO market will mainly focus on consolidation in the future.

• BDO Market
• Supply and Demand Analysis
• Cost-Related Impacts
• Future Market Forecast

From May 8 to 15, the methanol market price in East China ports rose slightly by 0.83% to 3,137 CNY/ton, but fell 6.63% month-on-month. Reduced supply and cost support were beneficial to the market, but weak demand dragged down prices. The main methanol futures contract on the Zhengzhou Commodity Exchange closed up 0.80% at 2,907 CNY/ton. It is expected that the market will consolidate and operate under the influence of multiple factors.

• Methanol Market
• Market Analysis
• Supply Contraction
• Weak Demand