July 13 news
This week, due to the temporary shutdown of a major hydrogen fluoride plant, the spot supply in the market has been significantly reduced, leading to a slight increase in the price of anhydrous hydrogen fluoride in China. According to the monitoring and analysis system, as of July 10th, the benchmark price of hydrofluoric acid was 15,600 CNY per ton, an increase of 0.86% from early July.
On the raw materials front: The price of fluorite, a key raw material, has risen slightly, while the price of sulfuric acid—a second crucial raw material—remains persistently high, providing some cost support for hydrofluoric acid. Overall, the modest increase in fluorite prices and the sustained high levels of sulfuric acid prices are offering cost support to anhydrous hydrogen fluoride prices. According to analysis systems, as of July 10, the benchmark price of fluorite stood at 3,375.00 CNY per ton, down 0.55% from the beginning of this month (3,393.75 CNY per ton).
Supply side: The subsidiary of Jinsishi Resources, Jin Ebo Fluorine Chemicals, has temporarily halted production. The sudden stop of a 20,000-ton monthly capacity has directly caused a substantial shortage in the market supply. Panic buying by downstream enterprises and the reluctance of upstream manufacturers to sell have further pushed up prices.
On the demand side: Downstream demand is weak, lacking upward momentum, and overall demand volume has noticeably declined. Spot purchases are mostly focused on replenishing inventories as needed, with little willingness to stockpile goods. Affected by sluggish transmission of demand from end consumers, the actual pace of goods turnover in the market has slowed down, and speculative demand in the trading sector has also been curbed.
Market Forecast: Hydrofluoric acid analysts predict that, with high prices for sulfuric acid and fluorite—the key raw materials—costs continue to provide solid support for hydrofluoric acid. Additionally, temporary production halts at some major suppliers have tightened the spot supply. As a result, the Chinese anhydrous hydrogen fluoride market is expected to remain stable with a slight upward bias in the short term. Further attention should be paid to potential marginal changes driven by developments on the raw material side, supply-side dynamics, and procurement trends among major downstream manufacturers.
