This week, the caustic soda price remains stable (7.28-7.31) in China

July 31st News

I. Price Trends

According to the commodity analysis system, the price of caustic soda in China remained stable this week. The average market price from the beginning to the end of the week was 861 CNY/ton, an increase of 6.69% compared to the same period last year. On July 30, the chemical index was 776 points, unchanged from yesterday, a decrease of 44.57% from the highest point of 1400 points (October 23, 2021), and an increase of 29.77% from the lowest point of 598 points on April 8, 2020. (Note: The period refers to from December 1, 2011, to the present.)

II. Market Analysis

According to the commodity analysis system, the caustic soda prices in China remained stable this week. In Shandong, the mainstream market price for 32% ion-exchange membrane caustic soda is around 790-870 CNY/ton. In Jiangsu, the caustic soda prices are stable, with the mainstream market price for 32% ion-exchange membrane caustic soda around 870-930 CNY/ton. In Inner Mongolia, the caustic soda prices are consolidating, with the mainstream market price for 32% ion-exchange membrane caustic soda (on a 100% basis) around 2700-2800 CNY/ton. The market trading atmosphere is moderate, with a strong wait-and-see sentiment. Most purchases of alumina are made on a need-to-buy basis, and non-aluminum buyers also mainly purchase according to their needs.

Analysts believe that the price of caustic soda has been stable recently. Recently, domestic demand in China has been moderate, and there is a strong wait-and-see sentiment in the market. The balance between supply and demand suggests that the price of caustic soda will likely remain in a consolidation phase, depending on the specific demand from downstream markets.