Glacial Acetic Acid Market Rebounded in a Narrow Range ( Jul 7 - 13, 2017)

This week, the glacial acetic acid market rebounded slightly this week. Up to July 13, the market price of glacial acetic acid was at the range of RMB 2,580-2,830/mt. The average price of glacial acetic acid was RMB 2,662/mt, which was down 0.41% W-O-W and up 32.11% Y-O-Y.

As the glacial acetic acid market was in a downtrend before, the profit of factories continued dropping. Also, holders did not purpose to decrease prices. Therefore, the glacial acetic acid market fluctuated within a narrow range.

This week, the methanol market was in a uptrend. Firstly, glacial acetic acid production cost was supported by the methanol price. Secondly, the downstream demand was stable and some factories had export orders. The overall sales of glacial acetic acid producers was active.

As the units in Hebei Yingdu operated unsteadily and units in Henan Yima were shut, the supply pressure in North China was relieved slightly. The negotiation price of glacial acetic acid rebounded marginally with the support of the slightly tight supply and increasing methanol market.

Forecast: The methanol market will be stable. Units in Hebei Yingdu and Anhui Huayi will undergo maintenance recently. Factories will mainly accumulate inventory. As the pressure of glacial acetic acid inventory was relieved, players will be bullish about the market. Next week, the glacial acetic acid will be stable-to-rising.