This Week's Acetic Acid Market Continues to Rise in China

November 28th News

According to the commodity market analysis system, as of November 28, the average price of acetic acid in the Chinese market was 2550.00 CNY/ton, an increase of 46.67 CNY/ton compared to the price of 2503.33 CNY/ton on November 21, with a price increase of 1.86%. This week, the acetic acid market in China continued to rise. The capacity utilization rate of acetic acid is not high, and the supply of market inventory has decreased. At the end of the month, long-term orders from factories have increased, and the inventory of enterprises has decreased. The acetic acid prices are firm and rising. There has been an increase in inquiries from downstream buyers, and the market atmosphere is strong for price increases. The combination of favorable factors in the market supports the strong upward trend of acetic acid prices.

This week, the methanol raw material market saw a significant increase. As of the 28th, the average price in the Chinese market was 2115 CNY/ton, a 6.02% increase from the price of 1995 CNY/ton on November 21st. The restriction on overseas natural gas supply has led to the shutdown of overseas facilities, increasing port outflows and causing the port market prices to stop falling and start rising. This has also boosted the spot market, with increased demand from downstream sectors, smooth sales from methanol enterprises, and a strong overall performance in the methanol market.

The downstream acetic anhydride market in China has been fluctuating. From November 21 to 28, the average ex-factory price of acetic anhydride decreased from 4025.00 CNY/ton to 4012.50 CNY/ton, a price decrease of 0.31%. The upstream acetic acid market is relatively strong, increasing the cost pressure on acetic anhydride. However, the downstream market's enthusiasm for entering the market is not high, and demand is weak. The overall market transaction atmosphere is poor, and the price of acetic anhydride has been operating at a low level during this period.

For the future market forecast, acetic acid analysts believe that as the inventory of Chinese acetic acid companies continues to decline, manufacturers' sentiment is supportive and positive. Downstream demand is steadily following, and industry players have a strong intention to increase prices. It is expected that the acetic acid market will continue to show a strong trend in the later period. The focus will be on the market supply situation.