According to the data monitoring of SunSirs, the market of dichloromethane declined in October. As of October 31, the average price of dichloromethane (bulk) in Shandong was 2,950 RMB/ton, down 6.65% from 3,160 RMB/ton at the beginning of the month, and up 2.97% from the monthly lowest of 2,865 RMB/ton.
On the one hand, the price of raw material methanol was lower and the cost support was weaker; On the other hand, the construction of Jinling methane chloride plant reached a high level in the first half of October, and the supply of dichloromethane was loose. Under the pressure of cost and supply, the factory price of domestic dichloromethane fell in the early stage and rose slightly at the end of the month. The offer of merchants fluctuated with the factory price.
Analysis review
The supply of dichloromethane was loose in the first and middle ten days of October, and the market supply was sufficient, and the price fell; At the end of the month, a number of enterprises began to reduce their load and park their cars. The supply side became tight and rebounded slightly at the end of the month. At the end of October, Jinling Dongying Methane Chloride Plant was reduced to 60% load for operation; From October 26, the 300,000t/a methane chloride unit in Dongyue had been under load reduction operation, which was expected to last about a month; In late October, Jiangsu Liwen began to shut down its 160,000 t/a methane chloride plant for maintenance; Dongying Huatai 160,000 t/a methane chloride plant was shut down for maintenance for about a week from October 25.
The price of raw materials fell sharply, and the cost of dichloromethane dragged down the price. According to SunSirs, as of October 31, the spot price of methanol was 2,757 RMB/ton, down 8.46% from the price of 3,012 RMB/ton at the beginning of the month. At the end of the month, the supply side of methanol was abundant, the demand side did not improve, and the methanol market continued to fall. Local transportation was limited, and some enterprises increased their inventories, which further aggravated the wait-and-see mood of traders.
In October, the third generation refrigerant R32 downstream of dichloromethane started at a low level. In addition, the thinner/coating industry started at a low level, with weak demand, and the price of dichloromethane fell.
Market outlook
Analysts from the methane chloride data of SunSirs believe that the cost of dichloromethane is on the decline, the demand is weak, but the supply is tight. It is expected that the price of dichloromethane will continue to rebound slightly in the short term.
