Market Analysis - Monthly Report - October, 2020 - Isopropanol

What's hot and what's trending this month

1) After the isopropanol market holiday this month quickly went up after the center of gravity is low, towards the end of the month has rebounded.

2) The export volume also declined, affected by the repeated rise and fall of acetone, isopropanol market atmosphere downturn.

Summary of the market this month

After the isopropanol market holiday this month quickly went high after the center of gravity is low, near the end of the month some rebound. In terms of supply, domestic isopropanol plants are operating normally and the supply side is relatively loose. In terms of demand, downstream demand remained sluggish with only a small amount of steel needed to be purchased, and the overall delivery was very poor, and the export volume also declined. Affected by the repeated rise and fall of acetone,  the isopropanol market atmosphere was depressed. At the end of the month, although acetone rose sharply, the market showed signs of rebound.

Market forecast for t next month

Domestic isopropanol plant operation is stable, the supply side is relatively loose. As domestic demand remains sluggish and the epidemic intensifies in Europe and the US, we need to pay close attention to the export of isopropanol. Acetone next month good enough to fall the possibility of greater; Propylene or continuous low running, cost surface support slightly insufficient. Next month, the isopropanol market will be bearish, the only good news is that the outbreak in Europe may intensify the domestic demand for isopropanol.

Factory shutdowns in China

In October, isopropanol manufacturers operating rate of about 67%.

Chart of s China's IPA t export trend in 2019-2020

According to customs statistics, the average import price of isopropyl alcohol in September 2020 is US $1,246.64 / ton. In September 2020, 14191.52 tons of isopropanol was exported, and the average export price was US $1,126.81 / 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 the public in January and February. The total amount will be divided equally.

Summary and views

In general, the isopropanol market negative factors in the majority. Acetone is more likely to fall next month, propylene is also weak, the cost support is weak, domestic demand on the supply side continues to be weak, buying rigid demand is the main, the transaction is light, the only good thing is that the outbreak in Europe may increase the purchase of domestic isopropyl alcohol, thus producing a certain demand for isopropyl alcohol. Overall, October isopropanol or weak trend.