Weak demand leads to a fluctuating decline in phthalic anhydride prices this week in China

October 27, News

This week, the phthalic anhydride market in China fluctuated and declined.

According to the commodity market analysis system, as of October 27, the price of ortho-phthalic anhydride in China was 5983.33 CNY/ton, a 0.83% decrease from the price of 6033.33 CNY/ton on October 20. This week, the price of ortho-xylene remained stable, while the price of industrial naphthalene showed a weak consolidation. The cost support for phthalic anhydride was insufficient. The operating load of phthalic anhydride equipment slightly increased this week, and the operating rate of phthalic anhydride enterprises also improved, leading to a sufficient supply of phthalic anhydride. The downstream plasticizer market experienced a fluctuating decline, with the operating load of plasticizer enterprises decreasing, resulting in weaker demand support for phthalic anhydride. With stable costs and weak demand, the price of phthalic anhydride fluctuated downward this week.

Demand Side: Downstream Plant Starts Decline, Driving DOP Prices to Fluctuate and Fall

According to the commodity market analysis system, as of October 27, the DOP price was 7109.16 CNY/ton, a decrease of 1.39% from the DOP price of 7209.17 CNY/ton on October 20. This week, the DOP price has been fluctuating downward, with DOP production facilities in China operating at less than 60% capacity, and the operating rate slightly decreasing. The weak demand for phthalic anhydride continues, and the pressure for phthalic anhydride prices to fall has increased this week.

Future Market Forecast

Phthalic anhydride product data analysts believe that, in terms of demand, the operating rates of plasticizer enterprises have slightly decreased, and the production of plasticizers has stabilized, leading to a decrease in the support for phthalic anhydride demand. In terms of costs, the price of ortho-xylene has stabilized, and the price of industrial naphthalene has also stabilized at a weak level, keeping the cost of phthalic anhydride stable. Looking ahead, with the cost of phthalic anhydride remaining temporarily stable and weak demand continuing, it is expected that the price of phthalic anhydride will fluctuate and decline.