China MAA: Supply and demand are weak, rising and falling dilemma

Brief: recent domestic methacrylic acid overall market supply level continues to be tight, the downstream end users real single plate to maintain just need to fill positions, the overall trading atmosphere of the market continues to run a stalemate trend. Downstream terminal on the market mentality slightly wait-and-see, middlemen to maintain cautious offers, traditional sales off-season background, the market as a whole presents a dilemma. On the one hand, upstream methacrylic acid manufacturers due to their own cost pressure continue to maintain high offers, on the other hand, the downstream end users in the traditional sales off-season background, the overall market atmosphere continues to just need to fill positions.

Domestic methacrylic acid overall market starting load rate recently maintained low, the current domestic industry operating load rate is less than 70%, due to the raw material acetone hydroalcohol supply shortage problem, have to reduce their own starting load, and even some methacrylic acid production enterprises choose to stop maintenance. Recently, the domestic manufacturers of acetone hydroalcohol, the raw material of methacrylic acid, also maintain low load operation. Shandong Haili acetone hydroalcohol device is in shutdown state and there is no clear start up plan in a short period of time. The actual start up load of the manufacturers in northeast China is maintained at a low level. Therefore, in the recent period of time, the actual production and supply level of acetone hydroalcohol, the raw material of the overall domestic methacrylic acid market, is seriously tight. In the case of tight supply of raw materials, the actual production starting load rate of domestic methacrylic acid continues to maintain low operation.

In addition, as the supply level of the domestic methacrylic acid raw material acetone hydroalcohol market continues to be tight, the market offer price shows a high upward movement, and low price sources are basically in a rare state. There is only a small amount of acetone hydroalcohol supply on the market, and the actual offer price from the market dealers has risen to more than 10,500 yuan/ton. It is difficult to find the real low price of the market. Therefore, according to the current cost of raw materials, the actual cost price of domestic methacrylic acid in the near future is 15,500 yuan/ton or more. Affected by this, the recent domestic methacrylic acid market price has been close to the cost line or lower than the cost line near sales, the market price continues to drop the possibility is low.

However in July when the domestic methyl acrylic overall market sales off-season, traditional domestic actual construction load rate methylacrylic acid downstream terminal production enterprises for running movements, and part of the downstream end users real single flange maintaining themselves just to be sporadic margin is given priority to, in the domestic market of methyl acrylic acid late moves more cautious wait-and-see attitude, Therefore, the real single market level still maintain weak light operation. Under the background of traditional off-season sales, some domestic downstream terminal manufacturers of methacrylic acid even appear low load or temporary shutdown, so the overall demand level of the market as a whole is slightly light, the market trading level is calm, the market as a whole to maintain the contract just need to cover positions.

Affected by tight supply in the domestic methacrylic acid market as a whole, and supported by high raw material cost of methacrylic acid, the overall cost of domestic methacrylic acid continues to be high, and the current market price remains near 15000 yuan/ton. However, according to the current domestic methacrylic acid raw material price cost calculation of domestic methacrylic acid cost in 15000-15500 yuan/ton near. At present, the price has been close to the cost line or hovering near the cost line, so the overall market trend of domestic methacrylic acid may maintain the consolidation operation, do not exclude the continued high cost level, market price continues to high expectations.