Phthalic Anhydride Market Rebounded Slightly in Jan 2018

The Chinese phthalic anhydride market rebounded first and then moved down in January 2018. The overall prices were higher than those in last month. Up to January 31 2018, the closing price of phthalic anhydride produced via o-xylene was RMB 7,325/mt, up RMB 325/mt or 4.64% month on month.

The closing price of phthalic anhydride produced via crude naphthalene was RMB 6,800/mt, up RMB 500/mt or 7.94% month on month. After the New Year, the declines in the Chinese phthalic anhydride market shrank. When prices of phthalic anhydride produced via crude naphthalene hit the bottom, phthalic anhydride (o-xylene method) producers were unwilling to sell goods. Moreover, influenced by the environmental protection supervision, the overall supply was low. Prices of crude naphthalene and phthalic anhydride produced via crude naphthalene moved high, which promoted the prices of phthalic anhydride produced via o-xylene.

After two-week increases, downstream users saw production cost pressure. In H2 January, prices of crude naphthalene and phthalic anhydride produced via crude naphthalene moved down amid the bearish sentiments.