Strong Demand Drives Slight Rise in Toluene Market in November

November 28th, news

According to the commodity market analysis system, the toluene market in China fluctuated and rose in November 2025. From November 1 to 28, the price of toluene in China increased from 5,150 CNY/ton to 5,330 CNY/ton, with a price increase of 3.5% during the period.

In the first half of the month, China’s toluene market showed a volatile yet upward trend, generally advancing at a steady pace with a slight upward bias. In the Shandong region, the factory prices of major refineries were broadly raised, providing strong support to the market. The East and South China markets followed suit, with prices rising slightly. Market discussions remained active, and trading conditions were orderly. On the demand side, the downstream chemical and fuel-oil blending industries primarily engaged in procurement driven by immediate needs, effectively absorbing upstream price fluctuations and jointly propelling the market upward.

Late November: In the second half of November, the Chinese toluene market continued its oscillating upward trend, overall showing a stable and relatively strong operating pattern. At the core driver level, the rise in crude oil prices had a positive impact, significantly boosting the confidence of participants in the spot market. Major refineries generally raised their factory prices in response, providing strong support to the market. Demand remained robust, with downstream chemical and blending industries maintaining a steady procurement pace, effectively absorbing upstream price fluctuations. Prices in the East China and South China regions saw slight increases, with smooth supply-demand matching and a decent negotiation atmosphere, further consolidating the overall upward trend of the market.

Cost Perspective: During this period, international crude oil prices showed a slight downward trend, primarily due to the cumulative impact of multiple negative factors: OPEC+ has initiated a new round of production increases, intensifying market concerns about long-term supply surplus; regional tensions have eased somewhat, reducing the geopolitical risks' supportive effect on oil prices; meanwhile, U.S. crude oil demand has begun to decline, and ongoing tariff issues are further weighing down global economic prospects and expectations for crude oil demand. Under the combined pressure of these factors, international oil prices have edged lower. As of the 26th, the settlement price for the January WTI crude oil futures contract in the U.S. was $58.65 per barrel, while the settlement price for the February Brent crude oil futures contract was $62.54 per barrel.

Demand Side:

According to the commodity market analysis system, as of November 28, the price of paraxylene in China has stabilized. The selling price of Sinopec Sales Company has been increased by 50 CNY/ton compared to the previous period, and is now reported at 6,850 CNY/ton. The East China, North China, Central China, and South China regions are all implementing this price. Major facilities such as Yangzi Petrochemical and Zhenhai Petrochemical are operating stably, with normal product sales. Compared to October 31, the current price has cumulatively increased by 150 CNY/ton, and the overall market in China shows a steady and rising trend.

In the international market, as of November 27, the closing price range for paraxylene in the Asian region was USD 801–803 per ton (FOB Korea) and USD 826–828 per ton (CFR China), down USD 9 per ton from the prices on October 30. The international market performance was slightly weaker than that in China.

Market Outlook: Recently, the Chinese toluene market has been characterized by stability, with price trends largely driven by both crude oil movements and supply-demand dynamics. The international crude oil market has experienced a slight weakening, putting some downward pressure on spot market sentiment. On the demand side, the market continues to exhibit rigid, essential demand patterns; downstream enterprises have been replenishing inventories primarily based on actual production needs, without any significant increases or decreases in stock levels. Overall, the toluene market is currently performing steadily. Given the short-term downward trend in crude oil prices, we expect the market to remain stable but slightly weaker in the near term.