According to the analysis system of Business Society, the domestic anhydrous hydrofluoric acid market has been operating weakly and steadily this month. As of January 15th, the benchmark price of hydrofluoric acid in Shengyi Society was 11500 yuan/ton, a decrease of -0.72% from the beginning of this month.

Supply side: In January, the domestic hydrofluoric acid market showed a weak and stable trend, and hydrofluoric acid plants started operating at a low level. As the end of the year approaches, the downstream refrigerant quota for 2024 has been exhausted, and factors such as insufficient demand follow-up have led to low supply of hydrofluoric acid, with an overall operating rate of around 60%. It is expected that new quotas will enter the market after the holiday, and terminal demand will gradually recover, resulting in an increase in operating rates.

Raw material side: This week, the price of raw fluorite remained weak and stable. The current situation of the game in the domestic fluorite industry still exists. Overall, the operating rate of enterprises has not changed much. Upstream mining is tight, backward mines will continue to be eliminated, and new mines will be added. Mineral investigation work is still difficult. In addition, national departments need to rectify fluorite mines, and fluorite mining enterprises are facing increasingly strict safety and environmental protection requirements. Although the rectification action is coming to an end, the affected area has not narrowed. The difficulty of operating fluorite mines has increased, and the shortage of raw materials has limited the operation of fluorite enterprises. The supply of fluorite sources is still tight. According to the analysis system of Shengyi Society, as of January 15th, the benchmark price of Shengyi Society’s fluorite was 3603.75 yuan/ton, a decrease of -0.52% compared to the beginning of this month (3622.50 yuan/ton).

The market price trend of raw sulfuric acid has declined. According to the analysis system of Shengyi Society, as of January 15th, the benchmark price of sulfuric acid in Shengyi Society was 385.00 yuan/ton, a decrease of -12.99% compared to the beginning of this month (442.50 yuan/ton). The upstream sulfur market of sulfuric acid is declining, and the cost price is decreasing. Downstream customers of sulfuric acid are not enthusiastic about purchasing sulfuric acid, and the sulfuric acid price market is falling. The domestic hydrofluoric acid market price trend is weak and stable.

On the demand side: As the end of the year approaches, downstream refrigerant quotas are depleted, factory operating rates have decreased, inventory remains low, but there is still a demand for stocking downstream, and market prices remain strong. According to the analysis system of Shengyi Society, as of January 14th, the benchmark price of Shengyi Society R134a was 37333.33 yuan/ton, an increase of 3.70% compared to the beginning of this month (36000.00 yuan/ton). The current market price for refrigerant R134a is mostly around 44000 yuan/ton. It is expected that after the Spring Festival, with the entry of new refrigerant quotas, downstream refrigerant companies may increase their procurement of hydrofluoric acid.

Market forecast: As the end of the year approaches, downstream refrigerant quotas will be exhausted, factory operating rates will decrease, and market demand will weaken. But with the introduction of new quotas after the holiday, downstream refrigerant companies may increase their procurement of hydrofluoric acid. It is expected that the hydrofluoric acid market will operate steadily with a moderate to strong trend next month, and more attention should be paid to the news of leading enterprises and market supply and demand.