The price trend of domestic phthalic anhydride rose in April and then suppressed

According to professional data, the price trend of domestic phthalic anhydride showed an inverted “V” in April. As of the end of the month, the price of phthalic anhydride was 4687.5 CNY/ton, up 5.93% from the beginning of the month at 4425 CNY/ton, down 28.44% year on year.

Costs and demand affect price movements

In April, the domestic phthalic anhydride market price trend increased first and then declined. In the first half of the year, the price of phthalic anhydride increased sharply by 400 CNY/ton. The price of the phthalic anhydride market rose sharply due to the cost support. Insufficient and the downstream plasticizer market is poor, the market price of phthalic anhydride has returned to a downward trend. Overall, the price trend of phthalic anhydride market rose slightly in April.

In April, domestic phthalic anhydride manufacturers started to operate normally, with an on-site phthalic anhydride operating rate of more than 60%, domestic phthalic anhydride spot supply is sufficient, the downstream plasticizer industry sales are general, procurement is not active, phthalic anhydride manufacturers are generally selling goods, and the market price of phthalic anhydride has increased slightly.

As of the end of the month, the market price of phthalic anhydride and phthalic anhydride in East China had decreased, downstream factories purchased on demand, factory inventory pressure increased, and high-end transactions were blocked.

Negotiation sources in East China are mainly in the range of 4600-4800 CNY/ton, and naphthalene sources are mainly in the range of 4200-4500 CNY/ton; phthalic anhydride market in North China is quoted at 4600-4900 CNY/ton, and the attitude of phthalic anhydride in the market is relatively strong. Coupled with the mentality of buying up instead of buying down, the phthalic anhydride market trading market is weak.

Upstream prices of o-benzene

The price of phthalic anhydride upstream raw material o-benzene increased in April. As of the end of the month, the price of o-benzene was 4,200 CNY/ton, an increase of 10.53%. Since April, the downward trend of crude oil has eased, and the pressure of o-benzene raw material prices has not fallen, and the price of raw materials has gradually increased.

With the expected conclusion of the crude oil production reduction agreement in early April, it will have a favorable impact on the downstream. The price of o-benzene has risen sharply due to rising costs and the recovery of the domestic march. The price of phthalic anhydride has risen slightly.

Downstream DOP price increases

The increase in April was 8.09%, and the price of the downstream DOP market rose. Since April, domestic production has gradually recovered, and the number of enterprises started to increase gradually, and domestic demand has picked up. The price of DOP raw materials rebounded from the bottom, the downstream PVC market picked up, and the demand rose, which was good for the DOP market. The DOP rose, and the downstream trend increased the market price of phthalic anhydride. The price of phthalic anhydride rose slightly in April.

Taken together, the demand for downstream plasticizers has not improved significantly, coupled with the recent sluggish upstream crude oil market prices, it is expected that the market price of phthalic anhydride will still decline mainly in the short term.