This week, the domestic epoxy propane market fluctuated and declined. According to the monitoring system of Shengyi Society, as of August 8th, the benchmark price of Shengyi Society’s epoxy propane was 7633.33 yuan/ton, a decrease of 3.98% compared to the beginning of the month.

Price influencing factors:
Raw material side: The price of raw material propylene has increased this week. According to the market analysis system of Shengyi Society, as of August 8th, the benchmark price of propylene in Shengyi Society was 6450.75 yuan/ton, an increase of 0.27% compared to the beginning of this month (6433.25 yuan/ton).
Supply side: On August 4th, Qixiang Company’s 300000 tons/year epoxy propane unit has completed all maintenance and technical upgrades, and has gradually resumed normal production. It is understood that Qixiang’s epoxy propane will be sold externally. The market supply has significantly increased and is expected to reach around 19000 tons. Overall, the supply of epichlorohydrin is showing a loose trend, which has increased the competitiveness of the industry and led to a significant decline in prices.
Demand side: The downstream trading atmosphere of epoxy propane is average, and the purchasing enthusiasm is relatively flat, mainly consuming previous orders. Overall, the demand is facing weak support from the epoxy propane market, and the market may mainly consolidate in the later stage.
Market forecast:
An epoxy propane analyst from Shengyi Society believes that the concentrated release of production capacity in the epoxy propane market has led to a relatively loose supply side and an increase in raw material prices. In addition, downstream markets have a strong demand for purchasing, resulting in a mediocre trading atmosphere. It is expected that the epoxy propane market will mainly consolidate in the short term, and more attention should be paid to changes in raw material prices and upstream and downstream supply and demand.