1、 Price trend

According to the data of the bulk list of business agencies, the market of PA66 in China continued to be weak in April, and the price of PA66 decreased slowly throughout the month. As of Thursday, April 30, the average price of the mainstream offer of PA66 is about 20050.00 yuan / ton, 8.24% lower than the average price at the beginning of the month.

Analysis of influencing factors:

PA66 upstream adipic acid market after March’s market plunge, the current price is low. Most of the spot price adjustments are weak. Influenced by the sharp reduction of settlement price and listing price in April by the manufacturer, the price of adipic acid is generally reduced through the price offer. At present, the market is still generally affected by public health events at home and abroad, and the supply and demand are not prosperous. Most of the manufacturers are still bullish, however, they still maintain a high rate of start-up. Although most of the dealers have returned to normal delivery, they still haven’t reached the level of delivery before the epidemic, which leads to the gradual increase of inventory pressure of the manufacturers. On the cost side, in mid April, the price of pure benzene was affected by the rebound of crude oil at that time, showing a significant rebound, but still at a low price. In addition, the delay of cost conduction did not bring fundamental benefits to adipic acid. The downstream construction load still needs to be further improved, and it is difficult to expand the demand side. At present, the whole chemical industry market is impacted by the background of low oil price, and the market confidence is generally lax. The upstream bad is still an important factor restricting the adipic acid market, more importantly, affected by weak market demand, foreign orders shrink sharply, and adipic acid export is hit. It is predicted that the price of adipic acid will not improve in the near future;

The upstream adipic acid gave poor support to the PA66 cost side, and the market price of PA66 continued to weaken throughout April, with a negative market side. On the supply side, PA66 spot showed consistent adequacy, and the starting load of downstream plants was low. The background of imbalance between supply and demand remains unchanged. Moreover, PA66 plastic products are in the off-season of consumption recently, which is difficult to boost the market. The on-site trading is just in need, with few trading information and no large-scale stock.

Future forecast:

Business analysts believe that: in April, the domestic PA66 market continued to adjust its weak position. The spot price of adipic acid in the upstream is low, which is not good for PA66. The return rate of downstream factories needs to be improved. The replenishment operation is rigid and the demand is very limited. The market atmosphere is oversupplied, and the industry has insufficient confidence in the future market. It is expected that PA66 market will not improve in the short term.