1、 Price trend

According to the Commodity Market Analysis System of the Business Society, the reference average price of 85% hot process phosphoric acid in China on August 1st was 6640 yuan/ton. On August 30th, the reference average price of 85% hot process phosphoric acid in China was 6925 yuan/ton. This month, the domestic hot process phosphoric acid price increased by 4.29%.

According to the Commodity Market Analysis System of the Business Society, the reference average price of 85% wet-process phosphoric acid in China was 6433 yuan/ton on August 1st, and 6916 yuan/ton on August 30th. This month, the domestic wet-process phosphoric acid price increased by 7.51%.

2、 Market analysis

The market price of phosphoric acid fluctuated and increased this month. In mid to early August, although there was support on the cost side, downstream demand was not sufficient, with immediate replenishment being the main focus, and market transactions were average. The market situation of hot process phosphoric acid fluctuates in a narrow range, while the price of wet process phosphoric acid increases. In late August, the price of raw material yellow phosphorus significantly increased, and the cost side trend was strong. The market price of phosphoric acid followed the rise of raw materials. As of August 30th, the factory quotation for 85 industrial grade thermal phosphoric acid in Sichuan region is around 6900 yuan/ton, the factory quotation for 85 industrial grade thermal phosphoric acid in Yunnan region is around 6900 yuan/ton, and the factory quotation for 85 industrial grade thermal phosphoric acid in Hubei region is around 6700-6950 yuan/ton. The domestic market quotation for 85 wet process phosphoric acid is around 6250-7700 yuan/ton.

Market situation of raw material yellow phosphorus. The yellow phosphorus market price rose in August, and the overall market trading situation was relatively active. On site inventory is low, market spot is tight, and manufacturers mainly place early orders. Towards the end of the month, manufacturers are relatively resistant to high priced yellow phosphorus, resulting in a stalemate between supply and demand. The enterprise will not provide external quotations for the time being, and will discuss the actual order in detail. Downstream procurement is more cautious, with moderate stocking and a focus on immediate demand. As of August 30th, the market quotation is around 26180-26500 yuan/ton, and the actual transaction is negotiable.

3、 Future Market Forecast

Phosphoric acid analysts from Business Society believe that the recent rise in raw material yellow phosphorus has been temporarily delayed, and the market is operating at a low price, with short-term prices likely to loosen. The phosphoric acid market is undergoing consolidation and operation, with downstream and dealers mainly watching. It is expected that the short-term price of phosphoric acid will follow the fluctuation of raw materials and organize and operate.