Price trend
According to the monitoring data of SunSirs, the price of caustic soda went up. The average price in the Shandong market at the beginning of the week was 555 RMB/ton, and the market price at weekend was 587.5 RMB/ton. The price increased by 5.86% during the week and the price increased by 15.76% over the same period last year.
The caustic soda commodity index on July 15 was 82.01, an increase of 2.15 points from previous day, a decrease of 60.36% from the cycle highest point of 206.87 points (2017-11-14), and an increase of 25.96% from the lowest point of 65.11 on October 9, 2020. (Note: Period refers to 2011-09-01 to present)
Analysis review
The price of caustic soda rose this week. The price of caustic soda in Shandong rose, and the mainstream ex-factory price of 32% caustic soda was 540-670 RMB/ton. The supply of caustic soda was tightened due to manufacturers' overhaul, and downstream demand was slightly better than before. Caustic soda manufacturers adjusted their prices according to their own conditions. It was estimated that the caustic soda market would go up in the future. The price of caustic soda in Hebei increased, and the mainstream ex-factory price of 32% caustic soda was 600-700 RMB/ton. It was expected that caustic soda would continue to go up in the future.
Downstream: Due to the good demand for caustic soda from downstream alumina, caustic soda manufacturers were actively shipping the products, the trading atmosphere was fair, and the price of caustic soda was mainly going up.
According to the price monitoring of SunSirs, in the 27th week of 2021 (7.5-7.9), there were 2 kinds of commodities that rose in the chlor-alkali industry price list, 0 kinds of commodities fell, and 3 kinds of commodities had zero rise or fall. The main commodities that rose were: caustic soda (0.95%) and PVC (0.14%); the average increase or decrease this week was 0.22%.
Market outlook
SunSirs analysts believe that the price of caustic soda in Shandong rose, the inventory of caustic soda manufacturers decreased, and the demand for downstream alumina was strong. It is expected that caustic soda will continue to operate well in the future, depending on the downstream market demand.
