Last week, the market price of epichlorohydrin increased. Affected by the adjustment of Indonesian tariff policies, domestic glycerol prices have risen, which has a significant impact on epichlorohydrin, enhancing its cost support and driving up the price center of the epichlorohydrin market. According to the monitoring and analysis system of Shengyi Society, as of May 23, the benchmark price of Shengyi Society’s epichlorohydrin was 9600.00 yuan/ton, an increase of 6.67% compared to the beginning of this month (9000.00 yuan/ton).

Price influencing factors:
On the raw material side, the market price of propylene remains stable, while the market price of glycerol shows an upward trend. According to the market analysis system of Shengyi Society, as of May 23, the benchmark price of propylene in Shengyi Society was 6665.75 yuan/ton, an increase of 1.45% compared to the beginning of this month (6570.75 yuan/ton).
Equipment situation: Currently, the overall operating rate of the industry is 50-60%. Overall, the supply of epichlorohydrin in the market is tight, and prices are showing an upward trend.
Downstream demand side: The downstream epoxy resin market supply remains normal, with a capacity utilization rate of over 50%. But the terminal demand is weak, trading is not smooth, and the main focus is on purchasing for essential needs. Overall, downstream demand is average, and the market has a strong wait-and-see attitude.
Market forecast: Analysts from Shengyi Society believe that the price of raw material glycerol in the market will rise, and the cost side support for epichlorohydrin will strengthen. In addition, the market supply is tight, downstream demand is weak, and the purchasing mentality is not positive. It is expected that the epichlorohydrin market will maintain a stable to strong trend in the short term, and more attention still needs to be paid to changes in raw material prices and market supply and demand.