Cost support strong, anhydrous hydrogen fluoride market remains firm and tends to strengthen (12.22-12.26)

December 26th, according to reports

According to the analysis system, as of December 26, the benchmark price of hydrofluoric acid in China was 12,733.33 CNY per ton, an increase of 1.6% from the end of last month.

Raw Materials Side: This week, the cost of anhydrous hydrogen fluoride remains somewhat supported by the raw material sulfuric acid. Although there has been a slight decline, prices still remain at relatively high levels, keeping cost pressures on hydrofluoric acid enterprises. Fluorite prices have remained weakly stable, and overall, the raw materials side continues to provide decent support, keeping the anhydrous hydrogen fluoride market in a relatively strong position. As of December 26, the benchmark price for fluorite was 3,362.50 CNY per ton, down 2.54% from the beginning of this month (3,450.00 CNY per ton).

On the demand side: Mainstream demand is weakening. As the year draws to a close, the downstream refrigerant industry is nearing exhaustion of its production quotas, resulting in overall weak demand and a focus on procurement based on actual needs. Most players are adopting a wait-and-see attitude, with relatively low purchasing enthusiasm. However, exports have remained stable. Despite sluggish domestic demand, external demand continues to provide some support. According to customs data, in November, the export volume of anhydrous hydrogen fluoride reached 18,400 tons, up 8.12% month-on-month, and the average price also saw a slight increase. The stability of the export market has to some extent eased the downward pressure from declining domestic demand. It is expected that anhydrous hydrogen fluoride prices will remain firm and relatively strong in the coming period.

Market Forecast: The price of fluorite raw material remains weakly stable. Although the market price of sulfuric acid has slightly declined, it continues to be supported by high levels. Fluorohydrochloric acid producers still face cost pressures, and coupled with weak downstream demand, purchases are primarily driven by immediate needs, resulting in a weakening of mainstream demand. However, external demand continues to provide some support. It is expected that the market price of anhydrous hydrogen fluoride will continue to show a slight upward trend in the coming period, with an increase of around 350 CNY per ton. Further attention should be paid to changes in market supply and demand.