Strong Demand in Peak Season Supports EVA Market Prices in September

September 29, News

Strong seasonal demand supported a slight increase in the EVA market in China in September. According to the commodity price analysis system, as of September 29, the benchmark price of EVA in China was at 11,400 CNY/ton, representing a 3.01% increase from the beginning of the month's price of 11,066 CNY/ton.

China's EVA petrochemical plants, which underwent maintenance in early September, are gradually resuming operations, ensuring an overall ample supply of EVA. As a result, the industry's operational capacity in China remained robust in September, running at around 85% to 90% of full potential.

The prices of ethylene, the raw material, have dropped significantly, while vinyl acetate prices have risen sharply, providing some cost support for EVA. As of September 29, Sinopec's ethylene price in East China stood at 6,950 CNY per ton, down 2.80% from 7,150 yuan at the beginning of the month. Meanwhile, the East China market price for vinyl acetate reached 5,550 CNY per ton, up 6.73% from 5,200 yuan at the start of the month.

In September, photovoltaic demand maintained strong support, and the foam sector continued to follow up with rigid demand, providing good support for the EVA market. However, downstream sectors still resisted high-priced supplies, and with ample supply of goods, this dragged down the price increase momentum of the EVA market.

The forecast for the future market, taking a comprehensive view, indicates that the EVA cost support will continue; however, in October, there are fewer EVA plant maintenance activities in China, and the supply is expected to remain sufficient. The downstream photovoltaic and foam industries will provide support based on their rigid demand, leading to an overall prediction that the EVA spot market trend in the later period will be consolidating at a high level.