Business Society: Bisphenol A Market to Stabilize First, Then Strengthen in January 2026

January 30th News

In January, the Chinese bisphenol A market shook off the weak trend at the end of the year and showed a "first stable then strong" recovery. At the beginning of the month, the market mainly maintained stability with prices consolidating within a range. Since mid-to-late month, multiple favorable factors such as costs, supply, and demand were released simultaneously, creating a resonance that directly propelled the market to rebound quickly. Prices steadily increased, reaching nearly 8,000 CNY/ton by the end of the month.

In early January, the Chinese bisphenol A market did not show a clear unilateral trend, with multiple factors balancing each other out, leading to an overall stable and fluctuating market. On the supply side, although some enterprises' facilities entered maintenance cycles, leading to a slight short-term reduction in supply, the market has strong expectations for new bisphenol A capacities in 2026. Traders are cautious about selling, showing little willingness to offer discounts, which supports the stability of the market. In terms of costs, international oil prices have not yet formed a sustained upward trend, and the prices of upstream raw materials such as pure benzene and phenol remain stable, providing limited support to the cost of bisphenol A. On the demand side, downstream industries are still at the end of the off-season, with insufficient follow-up demand for epoxy resins, and the PC industry has not yet started large-scale procurement. Market transactions are light, with the price of premium bisphenol A in the East China region close to 7,500 CNY per ton. Amidst the tug-of-war between bulls and bears, the market maintains a stable trend.

Mid-month, the bearish factors that had previously balanced the market gradually dissipated. With continuous positive developments in costs, supply, and demand, the Chinese bisphenol A market completely reversed its volatile trend and began a rapid rebound. The cost factor became the core driver, as the escalation of the US-Iran situation pushed international oil prices to rise continuously, with US crude and Brent crude breaking through $60 and $65 per barrel, respectively. This directly drove significant increases in the prices of upstream raw materials such as pure benzene and phenol. Phenol and acetone, as the core raw materials for bisphenol A, account for more than 70% of production costs. The rigid increase in raw material prices raised the theoretical cost of bisphenol A, forcing holders to firmly maintain prices.

On the supply side, positive factors also emerged. Although some previously shut-down facilities gradually resumed operations, some companies were affected by tight raw material supplies, leading to lower-than-expected operating rates. As a result, the market supply did not increase significantly, and the supply-demand balance continued to improve. On the demand side, the market gradually warmed up. The operating rates of downstream industries, such as polycarbonate (PC) and epoxy resins, steadily increased, and procurement demand continued to be released. Market transaction activity significantly improved, further driving prices upward.

Looking ahead, the January BPA market showed a clear trend of “initial stability followed by strength,” driven primarily by the synergistic effects of multiple positive factors. Cost support, tightening supply, and rebounding demand have all resonated, helping the market shake off its year-end weakness and achieve a steady recovery. In the short term, the BPA market is likely to maintain its relatively strong momentum. If oil prices—on the cost side—continue to remain at high levels, they will continue to provide support for the market. On the demand side, as downstream industries further increase their operating rates, procurement demand is expected to keep rising. However, it’s important to pay close attention to the progress of new capacity coming online and the risk of raw material price fluctuations. The future market trend will still require close monitoring of fundamental changes in both upstream and downstream sectors.