According to the monitoring of the business community, the domestic adipic acid market picked up this week (9.12-16), and the price rebounded at the bottom. The weekly gain was 5.28%. Adipic acid market price range at the weekend is 9400-9800 yuan/ton. The cost continued to improve. The decline in the operating rate eased the supply pressure. The manufacturers raised prices to support the market. The downstream just needs to follow up.
From the perspective of market supply, the adipic acid operating rate was low this week, and currently maintained at 40%. The manufacturer generally raised the price, and Hualu raised the collection by 500 yuan. The inventory pressure continues to ease. At present, several sets of devices are still in the process of maintenance. Haili, Hualu and Huafeng have two sets of devices shut down for maintenance. Although Haili has one set of device for trial operation, there is still no stable product outflow. In addition, Liaohua unit maintenance, Zhonghao single line operation, Hongding still shut down, other units operated with reduced load, and the enterprise significantly reduced its inventory, which is also the main reason for the price of adipic acid to rebound. In addition, the manufacturer’s profit continued to hang upside down before, which is also the reason why the enterprise stopped production or reduced the burden.
Trend of adipic acid industry chain
As shown in the figure above, adipic acid industry chain turned red this week as a whole. In terms of the increase in the industrial chain, the upstream performance is weaker, the rebound of adipic acid is stronger, and the downstream PA66 also has a good performance. It shows that the profit pressure of adipic acid and downstream enterprises has eased slightly.
Market Trend of Adipic Acid Upstream Pure Benzene
This week, pure benzene mainly rose and fell. The spot price in East China was 7700-7900 yuan/ton. According to the monitoring of the business community, the weekly rise of pure benzene was 0.64%. Affected by the continuous weak shock of crude oil, the rise of pure benzene was restrained to some extent. The supply of pure benzene started to increase. After the Mid Autumn Festival, the market inventory consumption reached a relatively low level. The decrease in the overall supply led to a higher price of pure benzene. However, the demand side was in conflict with the high price, and in the later period, it was feared that a large number of ships might impact the domestic market, and pure benzene would fall back from the middle of the week to the weekend.
Market trend of cyclohexanone in the upstream of adipic acid
According to the monitoring of the business community, cyclohexanone rose by 1.04% this week. The main reason is that the raw material pure benzene is too rigid. Cost oriented good support. Downstream caprolactam rose steadily. Chemical fiber companies need to follow up. Driven by the good news of cyclohexanone, the low price decreased and the transaction focus increased. It’s weekend, 9800-9900 yuan/ton in East China
Market trend of adipic acid downstream PA66
Terminal demand: Adipic acid downstream slightly improved. The inventory of large factories is consumed, and the willingness to purchase terminals is enhanced after the festival. According to the monitoring of the business community, the downstream PA66 rose by 4.35% this week. Due to the independent reduction of PA66 enterprises in the early stage, the spot supply of the market contracted. In addition, the inventory position of the port is fair, and the arrival of overseas goods is average. At present, it is in the traditional peak demand season, and the demand release of downstream factories is not significant. Business confidence increased, shipments continued to rise, and the supply of low-cost goods decreased. At the weekend, the market price of PA66 in Zhejiang was 24000 yuan/ton.
In the later period, the business community believed that the crude oil may remain volatile and the upward pressure is heavy. The pure benzene rose and fell last week, and it will also face some upward pressure in the later period. The benefits from the cost side are diluted. However, the supply side remained tight, the operating rate of manufacturers was low, and prices were generally high. The key point of whether the market can continue to improve in the later period is still on the demand side. The market is generally expected to be driven by the “gold nine silver ten” market. It is expected that the adipic acid market may still follow up next week. In the later stage, attention should be paid to the commencement of enterprises and the trend of crude oil and pure benzene.