Price trend

In the middle of February, the domestic POM market continued to operate actively, and the overall price performance rose. According to the data monitoring of the Business News Agency, as of February 20, the average ex-factory price of domestic POM was 14333.33 yuan/ton, and the price level was+2.38% higher than the beginning of the month.

Cause analysis

In terms of raw materials: the formaldehyde market in Shandong Province has been volatile and consolidated recently. The methanol market of raw materials has not fluctuated much recently, and the cost support is not good. The downstream market remains just in need of purchase, and the formaldehyde market is temporarily on the sidelines. It is expected that the price of formaldehyde in Shandong Province will fall mainly in the short term.

Supply: In mid-February, the operating rate of domestic POM enterprises continued to decline at a high level, and the industry load was about 95%. The inventory situation of the enterprise is stable, the inventory position is low, and the processing profit has recovered.

Demand: In terms of demand, there is an atmosphere of speculation in the market due to the tight supply in the near future. In addition to the promotion of the resumption of work and stock preparation of terminal enterprises after the holiday, the current demand is gradually released, which has a driving effect on the spot price.

Aftermarket forecast

The POM market continued to rise in mid-February. The domestic polymerization plant has a high operating rate, low inventory pressure, a tight supply of goods on the site, and an increase in the factory price of domestic materials. The demand side is gradually developing, and it is expected that the downstream enterprises will still have room to expand the scale of resumption of work, and some customers will have upward-seeking operations. It is expected that the POM market will continue to run strongly in the short term due to the support of the supply side.