Price Trend

The propylene oxide market fell first and then rose this week, according to business associations’big list data. As of September 6, the average price of propylene oxide was 10,200 yuan/ton, up 0.33% from the beginning of the week and 2.34% from August 6. The mainstream price of propylene oxide in China ranged from 9900 to 10500 yuan/ton on June 6.

II. Analysis of Influencing Factors

Product: The market for propylene oxide fell first and then rose this week. At the beginning of the week, the average price of propylene oxide was about 10,166.67 yuan/ton, the atmosphere of profit was strong, the factory was active in delivering goods, the new orders were not followed up well, the average price of propylene oxide was about 10,100 yuan/ton in the middle of the week, the price fell to a low level, the purchase volume of downstream increased, the stock was quickly digested, and the market of propylene oxide stopped falling and rebounded with the demand for polyether in the downstream. Gradually increasing, the average price of propylene oxide on Friday was around 10,200 yuan/ton, the factory inventory was low, and the market turnover was stable. As of June 6, the cash delivery price of Wanhua Chemistry Shandong Mainstream Market was 10,200 yuan/ton, and that of East China Mainstream Market was 10,500 yuan/ton. At present, the mainstream quotation of propylene oxide Market in eastern China is around 10,200 yuan/ton, which is remitted to Shandong; the mainstream quotation of propylene oxide Market in Shandong is around 9,950 yuan/ton, which is remitted to factories; and the mainstream quotation of propylene oxide Market in southern China is around 9,900 yuan/ton, which is remitted to factories.

Industry chain: This week, the market in Shandong area of propylene in the upstream rose slightly, with a weekly increase of 0.60%. The price of propylene enterprises in Shandong Province increased by 50-100 yuan/ton on September 1, and only a few enterprises increased on September 3-5, and all of them stabilized on September 6. At present, the market turnover is about 7650-7750 yuan/ton, and the mainstream price is about 7650 yuan/ton. Propylene stocks in Shandong remain low and supply is tight this week. The stable operation of n-propanol in the downstream this week has little effect on propylene oxide. In the near weekend, new orders in the downstream polyether market follow-up weakening, which has some restrictions on the price of propylene oxide.

3. Future market forecast:

Propylene oxide analysts believe that propylene oxide prices are rising in the upstream, supported by the cost of raw materials and low inventory of propylene oxide plants, the market of propylene oxide is good, but the slow follow-up of downstream demand will have some restrictions on propylene oxide upstream, and the market of propylene oxide is expected to reorganize in the short term. Mainly, more attention should be paid to the transaction situation in the mainstream market.