Market Analysis - Monthly Report - September, 2020 - Isopropanol

What's hot and what's trending this month

1) The isopropanol market is up and down this month, and the whole is similar to last month.

2) This month isopropanol exports continue to decline, the downstream demand remains light.

Summary of the market this month

The isopropanol market is up this month after the decline, the overall similar to last month. On thesupply side, normal operation of the factory in the middle and before; Towards the end of the month, some factories closed, but the supply side is good; In terms of demand, the isopropanol exportvolume continued to decline this month, the downstream demand maintained light, the shippershipping pressure is large, late and near the end of the month, although there is pre-holiday stockingbut the situation is not ideal, traders intention to stabilize the price before the festival, the price trendis gradually stable.

Market forecast for next month

In September, some isopropanol plants will shut down. In October, there may be more maintenanceplans, so the overall supply may be reduced. Next month demand or continue to light, the overallmaintenance of rigid demand, little improvement. Next month acetone market trend is subtle, industrymentality is different, or to maintain a range of shocks, the impact of this area is limited. In general, the isopropyl alcohol market next month positive negative coexistence, industry trend or appeardiverging, the market or present a shock trend.

Factory shutdowns in China

Isopropanol manufacturers were operating at about 60% of capacity in September.

Chart of China's IPA

According to customs statistics, in August 2020, the import price of isopropyl alcohol was 1015.59tons, and the average import price was usd 2,308.07 / ton. Isopropanol exports 22424.48 tons, theaverage export price is $1166.02 / ton.

Note: the general administration of customs will no longer separately release the import and export data of January and February in 2020, but will merge the data in March and release the data to thepublic in January and February. The total amount will be divided equally.

Summary and views

Look next month, isopropanol market operation trend will maintain downward. In October, acetone market was not good enough, so there was a high risk of falling back. However, domestic isopropanol factories were mostly kept in normal operation, and there was also a lack of good supply. In addition, export demand will continue to be a key driver of the isopropanol market, with current industry confidence in a subsequent recovery in demand generally poor, so the overall isopropanol market in October may be hard to find a positive.