According to the Commodity Market Analysis System of Shengyi Society, the TDI market in East China has been operating in a narrow range this week. As of August 8th, the average market price in East China was 16666 yuan/ton, and on August 4th it was 16666 yuan/ton. There was no increase or decrease during the week, with a year-on-year increase of 18.2%.
This week, the TDI market has been operating at a high level of consolidation, and the market atmosphere is quite conflicted. On one hand, there is a continuously tense supply situation. On one hand, high prices lead to low enthusiasm for downstream market entry, with only essential support. The TDI unit at Zhounei North Factory is scheduled to be temporarily shut down for maintenance in mid August, lasting about 7 days. Due to tight supply, the Shanghai factory will not accept new orders. The supplier’s willingness to raise prices remains unchanged, downstream entry into the market is cautious, and there is a shortage of actual orders. Under the game of supply and demand, the TDI market is operating at a high level of consolidation.
Supply side: Xinjiang will stop for maintenance on July 16th, lasting about 35 days; Gansu stopped for maintenance on July 27th, lasting about 10-15 days. Hebei plans to temporarily stop for maintenance in mid August, lasting about 7 days.
Cost aspect: The price of toluene has fallen, with an average price of 5580 yuan/ton at the beginning of the week and 5560 yuan/ton over the weekend, a decrease of 0.35% during the week. The toluene market was affected by supply side maintenance, and after a wave of price increases, it experienced a slight decline this week due to weak demand.
In terms of future analysis, TDI data analysts from Shengyi Society believe that the TDI market will continue to maintain a tight supply situation. With the support of overseas orders, it is expected that the TDI market will continue to operate at a high level in the short term, and close attention will be paid to changes in market supply and demand as well as news.