This week, the TDI market in East China experienced a weak decline. As of October 14th, the average market price in East China was 17900 yuan/ton, and on October 16th, the average price was 18100 yuan/ton, a decrease of 1.1% during the week and a year-on-year increase of 32.59%.
This week, the TDI market experienced a weak decline. The market supply side continues to tighten, and major factories in Shanghai and northern China have suspended sales in their distribution channels due to inventory shortages this week. The willingness of the supply side to raise prices is obvious, and traders are adjusting upwards according to the trend. However, downstream demand willingness is poor, resulting in sluggish market entry and low transaction volume. Under the constraint of demand, prices have fallen.
Supply side: One set of TDI equipment in Yantai is temporarily shut down, while the TDI equipment in Fujian is operating at medium to high loads, and the market supply is relatively stable.
Cost aspect: Recently, the toluene market has been operating at a high level, with international crude oil prices at a high level and the cost of naphtha rising. In the early stage, refinery maintenance and port inventory were low, and the tight supply of goods contributed to this. Downstream solvents TDI、 The demand for essential products such as Qihua remained flat, with mostly small orders purchased on demand. Buyers were cautious when buying at high levels, and the toluene market fluctuated at high levels in October.
In terms of future analysis, data analysts believe that under the current supply-demand game in the TDI market, market demand is lower than expected. Without a significant improvement in demand, it is expected that the TDI market will experience a weak and volatile trend in the short term.