May ethyl acetate market continues to decline in China

May 31st, news

According to SpotCom data, as of May 31, the average production price of ethyl acetate in China was 6,000 CNY/ton, a decrease of 393.33 CNY/ton from the beginning of the month when it was 6,393.33 CNY/ton, representing an overall price decrease of 6.15%. With the decline in raw material prices, cost support has weakened, and downstream demand has been sluggish. As a result, companies have faced difficulties in shipping, leading to a weak downward trend in the ethyl acetate market.

Market Analysis: This month, the ethyl acetate market continued to decline. On the supply side, the operating rate of ethyl acetate production increased during the month, resulting in ample supply and significant selling pressure on manufacturers. On the demand side, trading activity in the downstream markets remained sluggish, with weak procurement by end-users, leading to a generally weak fundamental outlook for ethyl acetate. Meanwhile, the price of acetic acid—the key raw material—also fell, further squeezing profit margins for ethyl acetate producers. As a result, sellers have become more inclined to offload their inventories, creating a strongly bearish market sentiment and driving ethyl acetate prices steadily lower.

According to the commodity market analysis system, as of May 31, the price of acetic acid was 3040 CNY/ton, a decrease of 4.80% compared to 3193.33 CNY/ton at the beginning of the month. During the month, the price of acetic acid fluctuated downward. The operating rate of acetic acid production in China remained largely unchanged, and companies maintained their shipping rhythm. However, there was weak demand downstream, leading to poor sales for companies. The acetic acid market operated weakly, and the cost factor had a negative impact on the acetic acid ethyl ester market.

Looking ahead, the supply of ethyl acetate in China is currently ample, and companies are facing significant inventory pressure. Downstream purchasing enthusiasm is low, and demand support is average. The acetic acid market, which is the raw material, is weak, leading to a negative impact on costs. There are no positive factors in the market, and it is expected that the ethyl acetate market in China will continue to operate with a weak and stable trend next month. Specific attention should be paid to changes in supplier facilities and downstream follow-up situations.