Cost Support: Adipic Acid Sees Rising Prices

March 5th, News

The commodity market analysis system shows: Starting from March, supported by the significant rise in raw material prices, the adipic acid market has heated up, with continuous increases. On March 5th, the average market price of adipic acid in China was 8,700 CNY/ton, an increase of 4.82% compared to early March and 3.57% compared to late February.

Raw material market support leads to a warming in the adipic acid market in China.

After the Spring Festival, the adipic acid market experienced a brief rise followed by a weak decline. Since March, driven by the increase in the prices of raw materials such as pure benzene and cyclohexanone, manufacturers have continuously raised the factory price of adipic acid, with acceptable market transactions, leading to a significant increase in the market, with a price increase of nearly 5% over two days. As of March 5th, the average market price of adipic acid in China was around 8,700 CNY per ton, with an increase of 400 CNY per ton.

The primary factor driving the recent rise in adipic acid prices is the cost side (the core driver): Recently, international oil prices have surged due to geopolitical factors, directly boosting the prices of upstream raw materials—pure benzene and cyclohexanone. The main reason for this round of adipic acid price increase is the support from rising costs.

Supply side (tight support): Industry supply has tightened. This week, the operating rate of adipic acid in China has decreased, and the weekly production has also declined. The tightening of supply is also a driving force behind the rise in adipic acid prices.

Adipic acid analysts believe: With the strong rise in international oil prices, pure benzene, as a downstream product of crude oil, has ample momentum to increase. In the short term, the favorable factors are still present, and there is room for further increases in adipic acid prices.