Price trend

In the first ten days of March, the domestic POM market was stagnant after rising, and the overall price change was narrow. According to the data monitoring of the Business News Agency, as of March 10, the average ex-factory price of domestic POM was 14433.33 yuan/ton, and the price level was+0.70% higher than the beginning of the month.

Cause analysis

In terms of raw materials, the formaldehyde market in Shandong Province fell sharply in the first ten days of March. From the figure below, we can see that this week’s market mainly fluctuated slightly. The price of raw material methanol was consolidated, the market trading sentiment was general, the formaldehyde manufacturers had a high willingness to store and control the shipment, and the market was volatile and low.

On the supply side: In the first ten days of March, the operating rate of domestic POM enterprises fell sharply from a high level, and the industry load dropped by about 1%, which is about 94% at present. The inventory situation of the enterprise is stable, the inventory position is not high, and the processing profit is steadily rising.

Demand: In terms of demand, the enthusiasm of terminal enterprises to prepare goods has weakened, the demand release is general, and the impact on the spot price is limited. At present, the market has changed the inflationary atmosphere due to the tight supply in the early stage, and the traders’ mentality has turned to be weak, and there is an underhanded operation.

Aftermarket forecast

In the first ten days of March, the POM market stood still after rising. The operating rate of domestic polymerization plants is high, and the inventory pressure is moderate. At the same time, low-cost imported materials are beginning to flood the market, causing a certain impact on domestic spot goods. The demand-side enterprises just need to replenish less, and some downstream operating rates are low, and the actual transaction is weak. It is expected that the market will turn down in the short term.