Recent Acetic Acid Market Trending Weakly in China

January 28 news

According to the commodity market analysis system, as of January 28, the average market price of acetic acid in China was 2,873.33 CNY/ton, a decrease of 30 CNY/ton compared to the price of 2,903.33 CNY/ton on January 21, with a price decrease of 1.03%.

Recently (1.21-1.28), the price of acetic acid in China has been declining. On the supply side, the capacity utilization rate of acetic acid has slightly increased, leading to an increase in market supply, with some regions showing a strong intention to sell. On the demand side, purchases have been mainly based on need, and the market trading atmosphere has cooled down somewhat. Corporate inventories have risen, and acetic acid quotations have slightly eased. Overall, the acetic acid market has shown a weak downward trend during the week.

Recently, the price of methanol, a raw material, has been fluctuating upwards. As of the 28th, the average price in the Chinese market was 2,288 CNY per ton, an increase of 3.16% compared to the price of 2,218 CNY per ton on January 21st. The port methanol market is expected to see a decrease in imports, with prices trending higher, which has somewhat supported the spot price; in some regions of China, methanol trading is moderate, with a relatively balanced supply and demand, leading to a stronger upward trend in the methanol market, while the cost side has had limited impact on acetic acid.

The downstream acetic anhydride market in China is operating weakly. From January 21 to 28, the average ex-factory price of acetic anhydride decreased from 4622.50 CNY/ton to 4590.00 CNY/ton, a price decrease of 0.70%. The operating rate of acetic anhydride production has not changed much, and the price of upstream acetic acid has decreased, weakening the cost support. Downstream demand is limited, and the positive factors in the market have decreased. Enterprises have a bearish outlook, and within the cycle, the price of acetic anhydride has weakened and declined.

Looking ahead, acetic acid analysts believe that China’s acetic acid facility utilization rate remains at a medium-to-high level, with inventory pressures still manageable for companies. Maintenance shutdowns at plants are recovering slowly, providing some support to market sentiment. Meanwhile, downstream markets are trending downward, and demand has weakened somewhat. It is expected that the acetic acid market will continue to fluctuate and consolidate in the near term. Going forward, attention should be paid to market supply conditions.