October Anhydrous Hydrogen Fluoride Market Prices Rise in China

October 23rd, Xinhua News Agency reported

In October, the market for anhydrous hydrogen fluoride in China rose. According to the analysis system, as of October 23, the benchmark price for hydrofluoric acid was 12,666.67 CNY per ton, an increase of 10.47% from September.

On the raw material front, China's fluorite market remained strong in October. According to analysis systems, as of October 23, the benchmark price for fluorite stood at 3,637.50 CNY per ton, representing a 0.76% increase compared to the beginning of the month (3,610.00 CNY/ton).

Meanwhile, competition within China's fluorite industry persists, with overall plant operating rates showing little change. However, upstream mining operations continue to face tight constraints, as older, less efficient mines are gradually phased out. On the positive side, developing new mining sites remains challenging due to ongoing difficulties in mineral exploration. Additionally, government authorities have initiated mandatory upgrades and reforms across the fluorite mining sector, placing stricter safety and environmental standards on companies. As a result, fluorite mines are now grappling with heightened operational challenges, further limiting their ability to ramp up production.

This tightening supply situation, coupled with lingering concerns over raw material availability, has prompted fluorite producers to maintain cautious pricing strategies. Meanwhile, in southern regions, several mines have already seen significantly reduced operating rates, exacerbating supply shortages among local fluorite firms. Consequently, traders holding inventories are increasingly inclined to support prices amid these market dynamics.

As temperatures begin to drop in northern China, the region’s mines and processing plants are approaching their winter shutdown period, which is expected to further tighten market supply. Despite this, the cost of hydrofluoric acid continues to provide some underlying support to the market.

On the demand side: In October, the overall operating rate in the downstream refrigerant industry remained relatively low. Affected by reduced production or shutdowns at R125 facilities in East China, market supply tightened—but price increases were limited. Meanwhile, the market price of R22 continued to decline, dropping from 33,500 CNY/ton at the beginning of the month to 16,000 CNY/ton in East China, marking a price decrease of 51.52%. Overall, terminal demand for downstream refrigerants remains weak and shows no signs of improvement, making it difficult to provide meaningful support for anhydrous hydrogen fluoride.

Market Forecast: The fluorite raw material market remains supported at high levels, but downstream industries show limited willingness to accept higher prices. Purchases are primarily driven by essential demand, leading to a sluggish trading atmosphere in the market. As a result, the anhydrous hydrogen fluoride market is expected to likely trade sideways in the near term. Further attention should be paid to shifts in market supply and demand dynamics.