July 17th News
I. Price Trends
According to the commodity analysis system, the caustic soda prices in China were generally stable this week. The average market price from the beginning to the end of the week was around 643 CNY/ton, a decrease of 25.49% compared to the same period last year. On July 16, the chlor-alkali index in China was 732 points, down 4 points from the previous day, and down 65.60% from the highest point of 2128 points (on October 24, 2021). It has increased by 3.54% from the lowest point of 707 points on February 27, 2026. (Note: The cycle refers to the period from December 1, 2011, to the present.)
2. Market Analysis
According to the commodity analysis system, the caustic soda prices this week have been consolidating. In Shandong, the price of 32% ion-exchange membrane caustic soda has increased, with the mainstream market quotes around 620-660 CNY/ton. In Zhejiang, the 32% ion-exchange membrane caustic soda delivered to Xiaoshan is quoted at about 830-860 CNY/ton. In Inner Mongolia, the price of 32% ion-exchange membrane caustic soda remains stable, with the mainstream market quotes around 1850-1950 CNY/ton (on a 100% basis). This week, caustic soda enterprises have stabilized their prices after the decline. Next week, there is an expectation of supply contraction in East China due to plant maintenance, but significant demand growth is unlikely during the traditional off-season. The alumina price is weak, and most buyers are adopting a wait-and-see attitude. Some aluminum plants are moderately replenishing their inventories based on their inventory levels, while alumina producers are not very active in spot transactions, and their quotations are relatively cautious. Demand from non-aluminum downstream sectors continues to be sluggish, with most purchases made on a need-to-buy basis, and there are no signs of improvement, putting pressure on the market.
Analysts believe that the caustic soda prices have been consolidating recently, and this week, with downstream alumina companies in China taking deliveries, while non-aluminum enterprises are taking deliveries at a moderate pace. Caustic soda prices have recently stabilized after stopping their decline, but due to large inventories, there is no substantial positive impact. The overall supply and demand dynamics suggest that caustic soda prices may continue to consolidate, depending on the specific downstream market demand.
