Price Trend

According to the data of the business associations’list, the domestic PA66 market fell weakly in mid-September and the price fell. As of September 20, the average price of viscous injection grade mainstream offer in PA66 was about 23300.00 yuan/ton, which was 2.51% lower than that in the first week.

Analysis of influencing factors:

The upstream adipic acid market of PA66 was mainly adjusted in mid-September. The market atmosphere was slightly cool. The distributors were mainly active in delivering goods. The market remained in a turbulent pattern. At present, the downstream market had a heavy wait-and-see mentality and a slightly stalemate in trading. Upstream pure benzene in September domestic pure benzene spot tightening, coupled with the recent violent shock of crude oil, stimulate the market, spot rally is strong. However, the results show that there is limited support for adipic acid. Adipic acid market supply is slightly excessive, and many distributors said that inventory pressure is high, plant start-up rate is high, market inventory and manufacturer inventory have risen, market price quotation and deal-making still have price difference, most regions maintain stable market. In terms of demand, downstream gas purchases are insufficient. The traditional “Golden Ninth” market has not arrived as scheduled this year. The downstream start-up rate is about 50%, which does not give a strong boost to the upstream adipic acid. In mid-September, the domestic PA66 market is well-stocked. It is reported that Shandong Development and Reform Commission has adjusted 100 tons of PC to withdraw from key projects and added it instead. Qixiang’s 1 million tons PA66 project was a breakthrough in technology in the past few days. The news is not conducive to easing the contradiction between supply and demand. Downstream factories just need to take delivery, demand has not improved and continued to weaken. The market buys gas insufficiently, the trader wait-and-see mentality is heavy. Businessmen follow the market, and most of the transactions are flexible and detailed. The overall market trend is weak, and domestic PA66 is still weakening in mid-September.

Future forecast:

Business analysts believe that the domestic PA66 market weakened in mid-September. Upstream adipic acid shock adjustment has limited cost support for PA66. At present, the spot supply is abundant and there are other large production line projects set up, which is bad news. The enthusiasm of downstream reserve is not high, and the strategy of just taking goods is adopted. The market is short of buying gas, the traders are passive and wait-and-see, and the transactions are many facts and detailed. It is expected that PA66 will continue its disadvantaged consolidation in the near future.