Chemical Products See Over 50% Increase in Prices, Boosted by Crude Oil Rise

Under the boost of crude oil, the chemical market has also emerged from its slump in the short term. In early July, 56 products saw an increase, accounting for 50.45% of the total; 27 products remained stable, accounting for 24.32%; and 28 products decreased, accounting for 25.23%. This is a rare sight in the chemical product market since April. Among them, ammonium sulfate, base oil, and isopropyl alcohol increased by 15.90%, 6.88%, and 6.23%, respectively. It is worth noting that TDI increased by 1000 yuan/ton within the week, with a relatively large increase. The spot market is tight, and suppliers are showing a strong market attitude.

According to industry sources, the increase in crude oil prices has led to a rise in the prices of intermediate raw materials such as ethylene and propylene, which has pushed up the prices of downstream chemical products. In addition, the overall demand in the domestic market has also improved, which has further supported the price increase.

The price hikes in ammonium sulfate, base oil, and isopropyl alcohol are mainly due to the high demand from downstream industries such as agriculture, lubricants, and disinfectants. As for TDI, the recent increase in price is mainly due to the tight supply in the spot market and the strong attitude of suppliers.

This surge in chemical product prices is a positive sign for the industry, which has been struggling in recent months due to factors such as oversupply, weak demand, and environmental regulations. The recent price increase may provide some relief to chemical companies and help them improve their profitability.

Overall, the recent surge in chemical product prices is a welcome development for the industry, and it remains to be seen whether this upward trend will continue in the coming months.