Domestic acrylic acid price trend

Over the past month, from November 1st to November 30th, 2012, the domestic factory price of acrylic acid has experienced a noticeable decline. Starting at 17,350 yuan per ton, it has steadily dropped to 16,067 yuan per ton, representing a decrease of approximately 7.4%. This downward trend has been observed across multiple domestic producers as the market dynamics continue to shift. Presently, several domestic companies are operating below full capacity due to underutilized installations. Despite this, the spot supply remains abundant, resulting in a lackluster trading environment. Downstream markets have not been able to absorb the surplus effectively, causing further strain on the industry. Additionally, logistical challenges such as shipping delays have compounded the situation. Leading manufacturers have responded by adjusting their prices. Satellite Petrochemical’s plant has maintained its acid price at 16,000 yuan per ton for guaranteed sales, while purified acid is being quoted at 15,500 yuan per ton. Shenyang Chemical's acrylic acid factory has reduced its quotations to 15,000 yuan per ton. Qilu Kaitai Acrylic Acid maintains its price at 12,500 yuan per ton with an ample inventory available. In East China, the acrylic acid market has seen a sharp decline. Primary acrylic acid prices now range between 12,000 to 13,000 yuan per ton, while purified acid trades between 14,500 to 15,000 yuan per ton. In South China, the market remains weak, with ineffective purchasing activity driving down prices. Barrel prices for primary acrylic acid have fallen to between 13,000 to 14,000 yuan per ton, a drop of 1,000 yuan per ton compared to last week. North China has also witnessed a significant contraction in trading volumes, with distributors reporting sluggish shipments. Prices in this region now hover between 12,000 to 13,000 yuan per ton. As we enter December, traditionally a slower sales period, the market is facing additional headwinds. There is a general lack of meaningful negotiations, and while cash flow remains strong, manufacturers are pressured to increase shipments. However, the weak demand from downstream industries has led buyers to withdraw from the market, causing transaction volumes to dwindle. Consequently, prices have continued to fall sharply. According to Fu Shan, an analyst at Business Society Chemical Branch, the current sentiment among traders is gloomy. Combined with the seasonal mindset of holding back purchases until prices stabilize, the short-term outlook for the acrylic acid market points to continued downward pressure.