September 30th News
According to monitoring data: In September, the adipic acid market in China continued to rise, with prices constantly increasing. At the beginning of the month, the average market price of adipic acid was 8,575 CNY/ton, and by September 30, the average market price had risen to 10,100 CNY/ton, an increase of 17.78%.
Main Factors Affecting the Current Round of Adipic Acid Market in China
Supply Side
Plant Operations and Start-ups: Overall industry utilization remained in the 78–82% range. Hualu Hengsheng conducted a roughly 20-day maintenance shutdown of its supporting facilities on September 8, resulting in indirect production cuts; however, this was not a major overhaul of the adipic acid plant, so the actual output reduction was limited. Meanwhile, Liaoyang Petrochemical, Xinjiang Tianli, and Huafeng plants operated steadily, with no large-scale shutdowns or supply reductions across the board.
inventory level: Factory inventories in China are moderate, while social circulation inventories are low, with no significant inventory accumulation, giving manufacturers the confidence to maintain prices. Traders who had previously stocked up at low prices gradually sold their inventories as the market rose, and by the end of the month, they were cautious about restocking.
Foreign Markets and Exports: Earlier, force majeure at U.S. facilities led to tight overseas supply, with FOB China prices ranging from $1,300 to $1,450 per ton. Affected by EU anti-dumping measures, exports to Europe have been hampered, with shipments now primarily headed to Southeast Asia, Turkey, and India. Overall export volumes remain weaker year-on-year, limiting the pull of foreign markets on China. On the cost side…
In September, the price of benzene surged significantly, while crude oil prices remained volatile and port inventories stayed at low levels, providing strong cost support for adipic acid. As the benzene–acid price spread narrowed, producers’ margins improved markedly compared with August, bolstering their willingness to hold firm on pricing. At month’s end, benzene prices eased from their highs, and the marginal cost‑driven support weakened accordingly.
Demand Side
"Golden September" is expected to be a peak season, but the demand is moderate and essential, without any explosive restocking.
PA66 nylon (the largest downstream segment): Production at automotive and engineering‑plastic plants has seen a modest rebound, but end‑user orders remain tepid. Downstream manufacturers are primarily sourcing on an as‑needed basis, with limited willingness to pay higher prices; under elevated raw‑material costs, they are striving to keep inventory levels in check.
PU polyurethane (shoe sole raw material, slurry): It is traditionally the peak consumption season, but downstream profit margins remain thin, and there is clear resistance to high adipic acid prices. Most producers are drawing down their own inventories, and large-scale stockpiling has yet to materialize.
PBAT Biodegradable Plastic: Production is stable, with no new demand exceeding expectations in China.
Adipic acid analysts believe: After the National Day holiday, rigid demand from end-users in China has decreased, but cost support for raw materials remains. The adipic acid market in China is still expected to rise with fluctuations, with prices forecasted to be in the range of 9,900-10,200 CNY per ton.
