According to the monitoring data of the business community, as of September 28, 2022, the average ex factory price of domestic industrial propylene glycol was 9733 yuan/ton, and on September 1 (the reference price of propylene glycol was 9250 yuan/ton), the price increased by 483 yuan/ton, or 4.50%.
It can be seen from the data monitoring chart of the business community that since September (9.1-9.28), the domestic propylene glycol market has been rising as a whole. In the first ten days of September, supported by the high cost of raw materials and the low inventory of propylene glycol in the field, the domestic propylene glycol market saw a steady rise at the beginning of the month, and the price rose by nearly 6% to 400-600 yuan/ton within five days. Subsequently, the market continued to consolidate at a high level.
After the Mid Autumn Festival, the center of gravity of propylene glycol market continued to move towards the high-end. With the rising cost and the downstream demand side being boosted, the pressure on propylene glycol supply was low, and the market ushered in a broad rise. As of September 15, the propylene glycol market price was near 9900-10300 yuan/ton, and the market rose by more than 9% in the first ten days.
At the end of September, on the 16th and 17th, the propylene glycol market price rose again as a whole, with an upward range of about 200 yuan/ton, and then the market remained stable at a high level. Since the 21st, with the decline of raw material costs, propylene glycol cost side support has become loose. In addition, after the high price on the market, the downstream wait-and-see sentiment has increased. With the market trading and investment on the market becoming weak, and both supply and demand becoming weak, propylene glycol market prices have started to fall back from a high level. As of September 28, the domestic propylene glycol market price has referred to around 9500-9800 yuan/ton, with a decline of 4.29% in the last ten days. At present, the trading atmosphere of propylene glycol market is light, and the overall performance of new orders is average.
On the upstream side, the propylene oxide market rose slightly in September. In the first half of the month, the price of raw propylene rose, and the cost support was gradually strengthened. Before the festival, the on-site devices were mainly stable, the supply was tight, the factory shipments were smooth, the market was not pressured, and the market returned after the festival. The market continued to be tight, the demand side was flat, the downstream mentality was different, and the focus was on watching carefully. On the 15th, the mainstream quotation of the propylene oxide market in Shandong was around 10500-10600 yuan/ton. In the second half of the month, the cost support remained, some units recovered, and the supply side increased, but the demand side was still flat. The downstream waited and waited, the inventory was slightly accumulated, and the price was lowered. In the last ten days, as the downstream polyether orders rebounded, factory shipments improved, the inventory pressure eased, and the market price rose slightly. After the deadlock operation, the mainstream quotation of the epoxy propane market in Shandong was around 9800-9900 yuan/ton on the 28th.
Future trend analysis
At present, the National Day holiday is coming, and the logistics and transportation have been stopped. After the completion of the propylene glycol staging, the current market new orders are not good. The propylene glycol data engineer of the business community thinks that during the pre holiday period, the domestic propylene glycol market is mostly weak, and the overall market fluctuation will not be too large. More attention should be paid to the basic changes in the supply and demand.