Price trend
May is mostly the off-season for terminal demand. Some manufacturers have plans to reduce their load. The domestic MDI market price was lowered again. As of the 10th, the domestic MDI market was sluggish and sorted out, and traders mostly quoted lower prices. According to the sample data monitored by SunSirs, as of May 10, the domestic MDI market price was 17,550 RMB/ton, a 12.80% decrease month-on-month and a 46.25% increase year-on-year.
Analysis review
The main reasons for the sluggish market are still poor demand and insufficient motivation. The domestic MDI market price remained weak. International oil prices rose, but the severe epidemic in India restrained the increase. In terms of raw materials, the market for pure benzene and aniline rose sharply, which was good for the market orientation of MDI. In the downstream industries, the demand was generally low in the off-season, and the price market was really difficult to pull in the short term.
In terms of enterprises, Shanghai Lianheng’s MDI Phase II plant is scheduled to be shut down for maintenance in mid-May for about 32 days and is expected to resume production on June 16. Japan’s Tosoh’s 200,000-ton/year plant was put into maintenance on May 6, and the maintenance time is about 45 days.
Market outlook
SunSirs’MDI analysts expect that the domestic MDI market is mainly in the doldrums in the future,
