According to the Commodity Market Analysis System of Shengyi Society, the formic acid market has shown a stable operating trend recently. As of March 4th, the benchmark price of 85% industrial grade formic acid in Shengyi Society was 2450 yuan/ton, which remained at the same level as before the year.
Moderate game between supply and demand sides
The seller’s quotation remains stable, while the buyer’s procurement mainly relies on replenishing inventory as needed, without large-scale hoarding or selling behavior, and the overall market maintains dynamic balance. Due to the expected impact of future sea freight rates, domestic formic acid production enterprises have begun to concentrate on shipping goods and execute export orders in advance. The accumulated inventory in the early stage has been partially digested, and inventory pressure has been alleviated to some extent.
There is an expectation of an upward trend in the future market
In March, some formic acid production enterprises plan to carry out equipment maintenance and shutdown, which is expected to have a certain impact on the market supply side and may lead to a slight contraction in the short-term total supply. At the same time, there are positive signals from the downstream industry demand side, and the market generally expects a slight rebound in downstream demand from March to April, which is expected to provide some support for the formic acid market and alleviate the possible contraction pressure on the supply side.
Formic acid data analysts believe that formic acid has shown the characteristics of “price stability, supply-demand balance, and expected differentiation” in recent times. With the implementation of some enterprise maintenance and shutdown plans in March, there may be a slight contraction in the market supply side. If downstream demand can recover as expected, it is expected to promote a slight upward trend in formic acid prices. Specific market changes still need to be monitored.