Review of flake caustic soda market in 2022
In the first quarter, it rose rapidly and then fell back.
At the beginning of January, the average price of flake caustic soda market was 3,500 RMB/ton, rising to about 4,400 RMB/ton on February 21, with a price increase of 25.71%. The price rose from January to February, mainly due to the tight supply of liquid caustic soda, which was good for flake caustic soda. The market was active in trading and investment. The supply of flake caustic soda market was not large, and most enterprises had low inventories. In addition, the price rise of liquid caustic soda supported the price rise of flake caustic soda. From February 21, the price of flake caustic soda decreased to 3,933.33 RMB/ton from 4,400 RMB/ton, and the price decreased by 10.61%. Because the early shipment was good, the operating rate of flake caustic soda was high at this stage, but the downstream was cautious.
In the second quarter, the price of flake caustic soda continued to rise at this stage.
On April 1, the average market price of flake caustic soda was 3,933.33 RMB/ton, and at the end of June, the average market price was 4,866.67 RMB/ton, up 23.73%. At this stage, the flake caustic soda manufacturers had no inventory pressure, and due to the impact of public health events, the transportation was limited, the supply of goods in the market was tight, and the price of flake caustic soda was rising. In addition, the supply of liquid caustic soda was also tight. Some data showed that the capacity of caustic soda maintenance devices in Shandong at this stage was about 1.07 million tons, accounting for about 10% of the total capacity in Shandong.
In the third quarter, the price of flake caustic soda at this stage showed a "W" trend.
The price of flake caustic soda fell in July. At the beginning of July, the average market price of flake caustic soda was 4,866.67 RMB/ton, and on July 31, the average market price of flake caustic soda was 4,500 RMB/ton, down 7.53%. At this stage, the operating rate of flake caustic soda enterprises was high, and the market supply was increasing, but the demand side just needed to purchase, and the on-site purchasing atmosphere was light. On August 1, the average market price was 4,466.67 RMB/ton. On August 28, the price of flake caustic soda was 4,800 RMB/ton, up 7.46%. In northwest China, the supply side had been overhauled by some enterprises. The market supply in Xinjiang and Inner Mongolia was tight, the pre-sale time of enterprises was long, and the shipment of enterprises was smooth. From August 29 to the end of September, the price of flake caustic soda was adjusted from 4,700 RMB/ton to 4,666.67 RMB/ton. At this stage, the domestic flake caustic soda market was mainly stable and wait-and-see. The merchants had a certain bearish sentiment towards the future market. The market was adjusted at this stage.
In the fourth quarter, after the price of flake caustic soda rose, it tended to consolidate.
The average market price at the beginning of this quarter was 4,666.67 RMB/ton, and the average market price at the end of this quarter was 4,783.33 RMB/ton, up 2.5%. The main reason for the upward trend at this stage was that the price of flake caustic soda in northwest China had been supported to a certain extent due to the impact of public health events, traders had actively entered the market, and the trading atmosphere was good.
