According to the Commodity Market Analysis System of Shengyi Society, from December 2nd to 6th, the average price of BDO in China fell from 8628 yuan/ton to 8585 yuan/ton, with a price drop of 0.50% during the period and a year-on-year decline of 10.70%. With the restart of the agent exchange device, the industry’s capacity utilization rate has significantly increased. However, some of the new production capacity is outsourced for driving materials, and online sales are relatively high, leading to a price conscious attitude among suppliers. The supply-demand game continues, and the domestic BDO market is deadlocked.

On the supply side, the Inner Mongolia agent exchange unit has restarted, and other previously restarted units have increased their load operation. The industry load has increased to over 60%, and the supply of goods has increased. The main operators are cautious and cautious. However, the overall inventory pressure on the factory side is controllable, and some new production capacity such as Anhui and Shandong are expected to be purchased externally before production, and the online listing or bidding prices are on the high side, supporting the supplier’s intention to guard prices. The impact on the supply side is mixed.

On the cost side, raw material calcium carbide: The domestic calcium carbide market is fluctuating, and the downstream PVC price has broken through the lowest point of the year. The sluggish downstream market has led to a downturn in market atmosphere. Raw material methanol: The domestic methanol market continues to rise. As of 10:00 am on December 6th, the domestic methanol Taicang price is 2500 yuan/ton. The market for raw materials such as calcium carbide and methanol has fluctuated and consolidated, with mixed impacts on BDO costs.

On the demand side, the overall load of downstream industries has increased, and the amount of raw material digestion is still acceptable. But most downstream profit losses are resistant to high raw material prices, maintaining contract follow-up and light spot trading. The impact of BDO demand is mixed.

Market forecast: Maintenance and restart of equipment are still in place, but supply side support is average. However, there is not much inventory pressure on site, and the supplier’s intention to maintain prices continues. The overall downstream demand is still acceptable. Business Society BDO analysts predict that the domestic BDO market will remain stagnant.