Price trend

In March, the domestic EVA market remained stable with minor fluctuations, and spot prices fluctuated and consolidated. According to the Commodity Market Analysis System of Shengyishe, as of March 27th, the benchmark price of EVA in China was 11933.33 yuan/ton, with a price increase or decrease of+0.56% compared to the beginning of the month.

Cause analysis

The domestic EVA market tends to operate in a stalemate in March, with the supply side’s EVA enterprise load rapidly decreasing from 93% at the beginning of the month to around 78% by mid month. The average operating rate at the end of the month has rebounded to over 92%. However, the inventory pressure of the petrochemical plant is still not high, and there are some production and maintenance plans at the end of the month. At present, suppliers still have a willingness to support the market, and there is still support from EVA suppliers for spot goods in March.

From the demand side perspective, EVA terminal enterprises have generally started production within the month, and their stocking situation tends to lag behind. The logic of purchasing and consumption for just needs remains unchanged. Among them, there are relatively few new orders in traditional downstream areas such as foam shoe materials and cables and wires, and overall, the demand for goods is mainly in demand. Merchants are influenced by the manufacturer’s price hikes and actively raise prices to ship. As the end of the month approaches, some brand names are secretly dropping and selling goods. Overall, the demand side has poor support for EVA.

Future Market Forecast

Overall, EVA prices have remained stable this month. The changes in the market for raw materials ethylene and vinyl acetate are limited, and the support for the EVA market is mediocre. After the industry load fell, it rebounded, and the inventory position of petrochemical plants is still not high. Coupled with expectations of supply tightening in the future, factory prices remain strong in the market. The poor consumption of traditional shoe materials and cables on the demand side has dragged down the overall trading heat. It is expected that in the short term, the spot price of EVA will continue to be dominated by consolidation and operation.