The price of plasticizer DOP fluctuated and fell in August

According to the Commodity Market Analysis System of Shengyi Society, as of August 29th, the DOP price was 7617.50 yuan/ton, a fluctuating decrease of 4.25% compared to the DOP price of 7955.83 yuan/ton on August 1st. The prices of raw materials isooctanol and phthalic anhydride have fluctuated and fallen, and the downward pressure on DOP prices has increased; In August, the operating load of DOP enterprises was consolidated at a high level, resulting in an increase in DOP production and supply; Downstream demand is difficult to improve, and there is a lack of interest in DOP procurement inquiries, resulting in limited improvement in DOP demand transactions. The increase in supply led to a decrease in costs, and the price of plasticizers fluctuated and fell in August.
The price of raw material isooctanol fluctuated and fell in August
According to the Commodity Market Analysis System of Shengyi Society, as of August 29th, the price of isooctanol was 7283.33 yuan/ton, a fluctuating decrease of 3.32% compared to the price of 7533.33 yuan/ton on August 1st. In August, the production capacity of isooctanol enterprises increased, and the operating rate of isooctanol equipment increased from less than 80% in July to 95% at the end of August. In addition, with the addition of new production capacity of isooctanol, the supply of isooctanol has increased; Downstream plasticizer companies are operating at a high level of consolidation, and the demand for isooctanol by plasticizers is recovering. As supply increases and demand rebounds, the price of isooctanol fluctuated and fell in August. The cost of plasticizers has decreased, and the downward pressure on DOP has increased.
Raw material phthalic anhydride prices hit bottom and rebounded in August
According to the Commodity Market Analysis System of Shengyi Society, as of August 29th, the price of phthalic anhydride in neighboring countries was 6300 yuan/ton, a fluctuating decrease of 5.26% compared to the price of 6650 yuan/ton on August 1st. In August, the price of ortho benzene fluctuated and fell, while the price of industrial naphthalene hit the bottom and rebounded. The cost support of phthalic anhydride was significant. In August, the equipment load of phthalic anhydride stabilized at a low level, and the operating rate of phthalic anhydride enterprises was about 60%. The supply of phthalic anhydride decreased, and the equipment operating load of downstream plasticizer enterprises stabilized at a high level. The demand support for phthalic anhydride still exists. Supply reduction and cost reduction led to a rebound in phthalic anhydride prices in August. The price of raw material phthalic anhydride hit bottom and rebounded, while the cost of plasticizers stopped falling and rebounded. The downward pressure on the price of plasticizer DOP weakened in August.
Future expectations
According to the data analyst of Shengyi Society’s plasticizer products, in terms of cost, the price of isooctanol has fluctuated and fallen, while the price of phthalic anhydride has bottomed out and rebounded. The downward pressure on the cost of plasticizer DOP still exists; On the supply side, the operating rate of plasticizer enterprises is consolidating at a high level, the production of plasticizers is increasing, and the supply of plasticizers is sufficient; In terms of demand, the overall economy is sluggish, coupled with anti competitive competition and the elimination of outdated production capacity, resulting in weak downstream demand. Overall, with strong supply and weak demand, coupled with the pressure of cost decline, it is expected that the price of plasticizer DOP will fluctuate and fall in the future.