September Anhydrous Hydrogen Fluoride Market Trend Rises

September 29, News

In September, the operating rate of China's hydrogen fluoride market was 54.5%, an increase of 1.2 percentage points from August, with prices adjusted upwards by around 550 CNY per ton. By the end of September, some companies continued to raise their new orders, maintaining a strong market trend. According to the analysis system, as of September 29, the benchmark price for hydrofluoric acid was 12,666.67 CNY per ton, an increase of 10.47% from early September.

On the raw materials front, China's fluorite market experienced a price increase in September. By the end of the month, the average fluorite price in China reached 3,497.5 CNY per ton, up 7.0% from the previous month’s average of 3,268.75 CNY/ton—and a 3.63% rise compared to the same period last year.

Currently, the Chinese fluorite industry continues to face ongoing market dynamics and competition. Overall, while companies have seen a slight uptick in operating rates, supply remains constrained due to tight conditions at upstream mining operations. Outdated mines are gradually being phased out, while developing new mines continues to be fraught with challenges. Additionally, ongoing mineral exploration efforts remain difficult, further complicated by government initiatives aimed at upgrading and reforming fluorite mining sites. As a result, fluorite miners now face increasingly stringent safety and environmental regulations, making it harder to resume operations.

Meanwhile, as temperatures drop in northern regions, winter shutdowns for mines and processing plants are fast approaching, further tightening market supply. This scarcity, coupled with persistently high fluorite prices, has provided strong cost support for hydrogen fluoride production, driving a significant surge in hydrogen fluoride market prices.

On the demand side: Downstream market conditions continue to strengthen. With supportive policies taking effect in the refrigerant industry's end markets, demand is expected to see a substantial boost. Within the framework of quota controls, fluorine chemical companies remain confident in maintaining higher prices in the refrigerant market. As a result, while current high prices have led to a relatively cautious purchasing pace, industry inventory levels are being managed smoothly and efficiently, prompting upstream suppliers to adopt a more demand-driven procurement approach. Overall, demand continues to provide solid, albeit slightly strengthening, support for hydrogen fluoride, driving its price trend firmly upward.

The forecast for the future market is as follows: with the rise in the price of raw material fluorspar, there is a strong support for the cost of hydrofluoric acid. However, the downstream sector's willingness to accept high-priced raw materials is relatively weak, and procurement is mainly based on rigid demand, with only a small number of orders being signed. It is expected that the market for anhydrous hydrogen fluoride may continue to show a relatively strong trend. More attention needs to be paid to the changes in market supply and demand.