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[Industry Focus]:The market cost support of epichlopropane is insufficient, and the market continues to fluctuate.

In recent years, the domestic epichlorohydrin market has continued to fluctuate. At the beginning of August, the price level of glycerol was not high, the profit margin of glycerol epichlorohydrin production enterprises increased, the enterprise resumed production or increased load, the market supply increased, and the price decreased slightly. On August 9, some parts of East China issued a power rationing policy. Some enterprises in Jiangsu, Jiangsu and Zhejiang have reduced their burdens or stopped production to varying degrees. Epichlorohydrin market supply tight. At the same time, glycerol prices began to rise, cost support increased, the dual factors contributed to the continued rise of the epichlorohydrin market. Towards the end of the month, the power restriction policy in East China was gradually lifted, and the load of enterprise equipment increased. At the same time, Shandong added 60,000 tons of epichlorohydrin equipment into production, market supply and demand pressure increased, prices into the downward channel.


Epichlorohydrin cost support is insufficient

in raw materials, the domestic liquid chlorine, propylene and glycerin market operation is different. Affected by the power rationing policy in some areas in August, chlor-alkali enterprises started down, the market supply decreased, and the price of liquid chlorine first fluctuated and then rose. The downstream market of propylene is weak, the international oil price continues to fall, the cost support is insufficient, and the market shows a volatile downward trend. In mid-August, the epichlorohydrin market improved, the pace of glycerin procurement accelerated, and traders reported continued gains. As the epichlorohydrin market fell at the end of the month, the pace of glycerin procurement slowed and the market was deadlocked. At present, the import price of crude glycerin is about 900 USD/ton, up 230 USD/ton from the beginning of August.


Epichlorohydrin demand picks up


in the downstream, the recent epoxy resin market continued the early low shock trend. Since mid-August, the raw materials bisphenol A and epichlorohydrin market has been rising, cost support effect is good. At the same time, some enterprises in Jiangsu Province temporarily stopped due to power restrictions, the market supply pressure eased, epoxy resin production enterprises reported a rise. Towards the end of the month, early parking enterprises resumed production, downstream acceptance of price supply is limited, the pace of procurement slows down, enterprise shipments are poor, quotations are loose, market transaction prices slightly lower.


Source: Epoxy resin exchange and trading
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