According to the Commodity Market Analysis System of Shengyi Society, from March 21st to 28th, the average price of BDO in China increased from 7900 yuan/ton to 7958 yuan/ton, with a price increase of 0.74% during the period, a month on month decrease of 3.95%, and a year-on-year decrease of 14.82%. The domestic BDO market is weak and wait-and-see. Although new production capacity has been put into operation one after another, some old facilities have been shut down for maintenance, providing support for the supply side. And the online sales price is relatively high, indicating the supplier’s intention to maintain the price. Downstream industry contracts follow up, spot purchases are cautious, supply and demand games continue, and the market center of gravity is weak.

There are significant fluctuations in the supply and installation aspects: the overall industry growth is limited, and the Shandong Alliance stopped on March 27th, providing some support for the supply side. The supply of BDO is affected by favorable factors.
In terms of cost, raw material calcium carbide: There has been a significant increase in the supply of calcium carbide in the domestic market, and the impact of power restrictions has weakened. The production of maintenance equipment in the early stage has gradually recovered, and the supply has increased significantly. The domestic calcium carbide market is stable with small fluctuations. The domestic methanol market is operating strongly. As of 10:00 am on March 28th, the domestic methanol Taicang price is 2690 yuan/ton. The prices of raw materials such as calcium carbide and methanol are relatively strong, and the cost of BDO is influenced by favorable factors.
On the demand side, there are many PTMEG maintenance devices downstream of the main force, resulting in a significant decline in industry load; The PBT and PBAT industries have seen an increase in load, with little fluctuation in other downstream industries, resulting in a slight reduction in overall demand for raw materials. Additionally, under cost pressure, there is a bargaining sentiment towards raw material inventory. The demand side of BDO is affected by bearish factors.
In the future forecast, the industry’s capacity utilization rate is still relatively low, supported by supply side inventory. With the restart of PTMEG maintenance equipment and the increase in new production capacity, the overall downstream demand will increase. Business Society BDO analysts predict that the domestic BDO market will fluctuate within a certain range.