On March 18, the Chinese epichlorohydrin market continued to decline

March 18th, news:

Today, the Chinese epichlorohydrin market continues its downward trend. The mainstream negotiation price in the Shandong market is around 13,200-13,400 CNY/ton on a cash-on-delivery basis, significantly lower than before. According to the monitoring and analysis system, as of March 18, the benchmark price of epichlorohydrin is 13,400 CNY/ton, an increase of 8.06% compared to the beginning of this month.

Price influencing factors:

On the raw material front: The price of propylene, the key raw material, has slightly declined, providing some support to the market price of epichlorohydrin. However, this support is insufficient to boost the currently weak market conditions. According to the market analysis system, as of March 18, the benchmark price of propylene stood at 8,011.00 CNY per ton, representing a 24.96% increase compared to the beginning of this month (6,411.00 CNY per ton).

On the demand side: Downstream demand is severely lacking support. The downstream epoxy resins industry is trending weaker, and the East China liquid epoxy resins market is consolidating at a weak level. Influenced by the sentiment of "buying when prices rise but not when they fall," downstream users are only maintaining small-scale purchases to meet immediate needs, resulting in a subdued trading atmosphere and very few transactions. Resin enterprises in the Huangshan region are operating at low capacity utilization rates, with some shifting their inquiries to northern regions; however, actual spot transactions remain limited.

Market Forecast: Epoxy Chloropropane analysts believe that the epoxy chloropropane market will continue to face downward pressure in the short term. Although supply-side pressures remain relatively mild for now, weak demand is driving market trends, and downstream players are adopting a cautious wait-and-see attitude. It is expected that the market will likely maintain its current weak and volatile pattern in the near term, with particular attention needed on changes in costs and downstream inventory replenishment intentions.