Strong Supply-Side Support Continues to Drive Acetic Acid Prices Up in December in China

December 31st news

According to the commodity market analysis system, the price of acetic acid continued to rise in December. As of December 30, the price was 2,750 CNY/ton, an increase of 200 CNY/ton from the beginning of the month when it was 2,550 CNY/ton, representing a price increase of 7.84%.

In December, the acetic acid market continued to rise strongly. Although some manufacturers restarted their facilities during the month, unplanned load reductions and the slow resumption of operations at Jiangsu Sopo kept the overall operating rate of acetic acid relatively low. At the same time, downstream buyers were purchasing according to their needs, creating a good trading atmosphere in the market. As a result, inventories of enterprises continued to decline, and manufacturers had a strong intention to maintain prices. Under the supply-side dominance, the price of acetic acid continued to rise.

The raw material methanol market showed a strong fluctuation. As of December 30, the average price in the Chinese market was 2,200 CNY/ton, which is a 3.53% increase compared to the beginning of the month at 2,125 CNY/ton. The low inventory in the methanol port market provided support for the prices. The operating rate in the domestic market remained high, with downstream purchases mainly driven by rigid demand, limiting the room for price increases. The market continues to experience supply and demand competition, and the methanol market remains in a state of fluctuating consolidation.