According to the Commodity Market Analysis System of Shengyi Society, the domestic aggregated MDI market first rose and then fell in May, with an overall increase. From May 1st to 29th, the domestic market price of aggregated MDI increased from 15316 yuan/ton to 16283 yuan/ton, with a monthly price increase of 6.31% and a year-on-year price decrease of 6.77%.

In mid to early May, export orders were delivered in a concentrated manner, and middlemen showed a clear willingness to raise prices. Low end quotations stopped falling and rose, and Ningbo units were supplied in limited quantities. Shanghai units have maintenance plans, and supply is expected to tighten. In the middle of the month, there will be an increase in maintenance companies and a slowdown in the filling speed of goods sources. The latest tariff policy has been introduced, which is favorable for the bulk commodity market. The trading atmosphere inside the venue has heated up. Low price reluctance to sell, the price of aggregated MDI continues to rise.
At the end of the month, the price of aggregated MDI rose to a high level, and intermediaries were actively selling goods. Downstream resistance to high priced sources was evident, and prices began to show slight looseness. The slight downward trend continued until the end of the month.
On the supply side, the 350000 ton annual production unit of Shanghai Huntsman will be shut down for maintenance in mid May, with a maintenance cycle of about three weeks. BASF’s 250000 ton plant in Shanghai will undergo maintenance in mid May, lasting approximately three weeks. Wanhua Fujian plant started shutdown maintenance on June 5th, with a duration of about 45 days.
On the cost side, the raw material pure benzene: In May, the pure benzene market fluctuated greatly, and the overall price increased compared to the beginning of the month. Supported by news of the adjustment of tariffs between China and the United States, the mid month market saw a wide rise in pure benzene prices. Subsequently, all the positive news dissipated, and the market returned to supply-demand imbalance, with prices falling weakly. Raw material aniline: The aniline market fluctuated and fell in May. On May 1st, the market price of aniline was 7532 yuan/ton, and on May 29th it was 7225 yuan/ton, a decrease of 4.08% during the month.
On the demand side, downstream urgent procurement, entering the market at low prices. In May, China and the United States reached an agreement on tariff policies, and the export market improved.
In the future market forecast, the current MDI market has a clear willingness for suppliers to raise prices, while the demand side maintains rigid procurement, resulting in a slight decrease in transaction prices. It is expected that the aggregated MDI market will maintain a slight downward trend in the short term.