Formic Acid Market Prices Ease Up

August 25, News

According to the commodity market analysis system: Recently, there have been signs of price softening in the formic acid market. As of August 25, the benchmark price of formic acid is 3,360 CNY/ton, a decrease of 5.35% from the high of 3,550 CNY/ton at the beginning of August, and an increase of 22.18% compared to the same period last year.

Foreign trade pressure has eased, while domestic demand in China has weakened.

Previously, boosted by strong foreign trade orders, formic acid prices surged steadily from 2,400 CNY/ton to 3,550 CNY/ton. However, recently, pressure from overseas markets has shown signs of easing in a phased manner, prompting a major production facility in Shandong to gradually open up to the Chinese market. Meanwhile, domestic demand in China continues to weaken, leading to a noticeable decline in overall market trading activity.

There is no positive support for raw material methanol in China.

From August 15 to 22 (up to 15:00), the quotation for methanol in the East China port of the Chinese market fell from 2,330 CNY/ton to around 2,295 CNY/ton, with a price decrease of 1.47% during the period, a month-on-month decrease of 6.29%, and a year-on-year decrease of 7.49%. With the recovery of methanol plants in China, the support from the domestic market is somewhat insufficient, and the market's willingness to buy at high prices is low.

Formic acid data analysts believe: Without recent positive support for formic acid, prices may fluctuate and stabilize, but specific developments still need to be monitored based on market conditions.