June 26th, News
According to Spotcom data, the domestic maleic anhydride market in China continued to decline this week. As of June 26, the average market price of maleic anhydride remained at 7,600 CNY/ton, a decrease of 1.3% from 7,700 CNY/ton on June 22.
Supply side: Recently, the resumption of production at maleic anhydride plants has led to an increase in market supply. Coupled with insufficient downstream orders and hindered sales, the prices from major maleic anhydride factories in China have continued to decline. As of June 26, in the Shandong region, the factory price of solid maleic anhydride is operating around 6,300-6,600 CNY/ton, while the factory price of liquid maleic anhydride is operating around 6,100-6,300 CNY/ton.
On the upstream side: In mid-June, n-butane prices fell sharply. This week, n-butane prices in China saw a slight increase to 5,450 CNY per ton. In June, Saudi CP prices stood at USD 820 per ton, up USD 20 per ton from the previous month.
Downstream: This week, China's unsaturated resins were weakly adjusted. The continuous decline in upstream styrene and maleic anhydride dragged down costs. The downstream fiberglass and building materials industries entered the traditional low season due to high temperatures, with insufficient terminal operations. In the short term, the market will still maintain a weak and narrow fluctuation pattern.
Maleic anhydride product analysts believe that in the short term, it is difficult for the downstream unsaturated resins industry, which is on the demand side, to significantly increase its operating rate. The cost side sees weak raw material prices, leading to weak cost support for maleic anhydride production. Additionally, with the recent concentrated resumption of maleic anhydride plants, the market supply has increased. In the short term, the Chinese maleic anhydride market will still remain weak.
