Acetic Acid Market Shows Stronger Uptrend After the Holiday

February 27 News

According to the commodity market analysis system, as of February 27, the average price of acetic acid in China was 2,830 CNY/ton, an increase of 50 CNY/ton compared to the price of 2,780 CNY/ton on February 23, with a price increase of 1.80%.

This week (2.23-2.27), the price of acetic acid in China showed a strong increase. During the Spring Festival holiday, the facility utilization rate of acetic acid remained largely unchanged, and the market supply was sufficient. In some regions, the inventory volume decreased due to the holiday, and prices continued to rise after the festival. In North China and East China, acetic acid prices also increased, supported by market sentiment. From the perspective of demand, the downstream recovery was slow, and the overall market support was insufficient, limiting the price increase of acetic acid. After the Spring Festival, the acetic acid market was in a consolidation phase.

Recent methanol raw material prices first increased and then decreased. As of February 27, the average price in the Chinese market was 2,155 CNY/ton, a decrease of 2.09% compared to the price of 2,201 CNY/ton on February 23. Methanol inventories in Chinese ports have increased, with weak demand downstream, leading to a significant reduction in the price. The support for the Chinese methanol market is insufficient, with general downstream purchasing and limited shipments from enterprises. Methanol prices are consolidating at a low level, and the cost pressure on acetic acid has weakened.

The downstream acetic anhydride market was consolidating, with the average factory price in China increasing from 4,565 CNY/ton to 4,570 CNY/ton between February 23 and 27, a price increase of 0.11%. The supply side saw little change in acetic anhydride production, while downstream buyers purchased according to their needs. The price of raw material acetic acid rose, providing strong cost support, leading to a slight increase in the price of acetic anhydride.

For the future market forecast, acetic acid analysts believe that there are no plans to adjust the acetic acid facilities in China. Companies are mainly adopting a wait-and-see attitude. After the holiday, the recovery of downstream demand is expected, and the market trading atmosphere is optimistic. It is predicted that the acetic acid market will show a strong consolidation trend in the short term. The focus will be on the market supply situation.