Data monitoring shows that the polyacrylamide commodity index stood at 93.13 on March 31, unchanged from yesterday, down 16.48% from the cycle’s highest point of 111.51 (2021-11-03), and up 12.35% from the lowest point of 82.89 on August 2, 2020. (Note: The cycle refers to 2019-04-01 to now)

Commodity market: Data monitoring shows that in March 2023, the mainstream market of polyacrylamide (CPAM, cationic, molecular weight 12 million, 10-30 ionic degree) in China’s domestic market was stable and slightly fluctuating, with the main market price of 15400 yuan/ton on the 1st day and 15242.86 yuan/ton on the 31st day, with a monthly decrease of 1.02%. This month, some manufacturers in the main production areas in China stopped production for about one to two weeks due to environmental requirements, and then returned to normal work. Most manufacturers produced normally, with sufficient inventory in stock. It is understood that the industry situation this year is very bad, downstream demand continues to be weak, and the market trend of polyacrylamide is weak.

Raw material acrylonitrile: According to data from the Business News Agency, the acrylonitrile market continued to fluctuate slightly in March. According to data monitoring by Business News Agency, as of March 31, the bulk water price in the acrylonitrile market was 10050 yuan/ton, down 4.29% from 10500 yuan/ton at the beginning of the month. This month, the domestic acrylonitrile operating rate is between 60% and 70%. On the one hand, raw material prices fell, and the cost of acrylonitrile continued to decline; On the other hand, the supply and demand side of acrylonitrile is currently deadlocked, and the acrylonitrile market is slightly weak. It is expected that the acrylonitrile market will continue to decline slightly in the future.

Raw material acrylic acid: According to the data from the Business News Agency, the acrylic acid market fell sharply in March, with the main price of 8050 yuan/ton reported in East China on the 1st, and the average price of 7100 yuan/ton on the 31st, with a drop of 11.80%. This month, the price of raw material propylene first fell, then rose, and then fell. Supply side enterprises focused on early maintenance, and later construction slightly increased. However, the purchasing mentality on the demand side was cautious, the terminal delivery intention was general, and the enthusiasm for purchasing raw materials through market inquiry was low. In the short term, the acrylic acid market may be light and wait for consolidation and operation.

Liquefied natural gas for production. According to data from Business News Agency, domestic LNG prices fell sharply in March. As of March 31, the average price of liquefied natural gas in China was 4344 yuan/ton, a decrease of 28.03% compared to the average price of 4214 yuan/ton on March 1. Cost support weakened due to lower feed gas prices. Market supply is sufficient and terminal demand is weak. After the end of the heating season in the north, the industrial operating rate is low, and the market supply is significantly oversupplied. Affected by the continuous price reduction of domestic gas, Haiqi also followed the downward trend. Under the influence of negative factors, domestic liquid prices have now fallen to a low level. It is expected that the domestic LNG market will continue to be weak in the short term.

Aftermarket Forecast: The market for raw materials and fuels has all declined this month, and cost support continues to weaken. Some manufacturers have experienced rapid resumption of production in stages, which has not affected the spot inventory of polyacrylamide at the supply end. Due to the overall impact of the current economic situation, the demand for downstream products continues to be sluggish this year, and the industry’s prosperity is not high. It is expected that the polyacrylamide market will continue to be stable, moderate, and weak in the future.

According to the monitoring by the Business Agency, the domestic asphalt market was weak and volatile in March. From March 1st to 30th, the average price of asphalt producers in Shandong fell from 3895 yuan/ton to 3710 yuan/ton, a decrease of 4.73%, and the price rose 24.53% year-on-year.

At the beginning of this month, supported by the relatively strong crude oil, the asphalt market quotation rose. The overall operation of the refinery is relatively stable, and the modification processing has warmed up, driving the upward atmosphere of the asphalt market. In the first ten days of this month, the refinery maintained a state of de-stocking, but the recovery of terminal demand was relatively slow, with the asphalt market rising and falling. In the middle of June, international crude oil fell sharply, and cost support weakened, driving down the price of asphalt market one after another. In the second half of this month, the sharp decline in crude oil and the slow recovery of terminal demand led to a significant decline in the domestic asphalt market price.

On the cost side, the international crude oil market in March fell first and then rose, but overall it still fell. As of March 29, international crude oil futures fell slightly. The settlement price of the main contract for US WTI crude oil futures was US $72.97 per barrel, a decrease of US $0.23 or 0.3%. Brent crude oil futures rose, with the main contract closing at $77.59 per barrel, a decrease of $0.55 or 0.7%. The domestic oil industry chain product market was affected by weak and volatile market conditions.

On the supply side, the comprehensive operating rate of the asphalt industry has increased on a month-on-month basis, with negative impacts on the supply side.

On the demand side, there may be precipitation weather in some areas of the south that may hinder terminal construction, while the weather in the north is moderate. The demand for roads is still tepid and tepid, and sporadic and low-priced goods are mainly needed.

In the future, it is predicted that international crude oil will maintain a volatile trend, with limited support for asphalt cost. From the supply side, the supply of asphalt is gradually increasing, while from the demand side, the demand for roads is still tepid. Asphalt analysts from the Business Agency predict that the short-term domestic asphalt market will be dominated by weak consolidation.

1、 Price trend

According to the bulk list data of the Business News Agency, the average market price of 55% powdered monoammonium phosphate was 3330 yuan/ton on March 1, and the average market price of powdered monoammonium phosphate was 3250 yuan/ton on March 29. The market price of monoammonium phosphate fell by 2.40% this month.

According to the bulk list data of the Business News Agency, the average market price of 64% diammonium phosphate was 3980 yuan/ton on March 1, and the average market price of 64% diammonium phosphate was 3987 yuan/ton on March 29. The market price of diammonium phosphate rose 0.19% this month.

2、 Market analysis

The price of monoammonium phosphate fluctuated and fell this month. At present, the market demand for monoammonium is weak, with insufficient intramarket trading and relatively few transactions. Downstream procurement is prudent, with a small amount of replenishment primarily. As of March 29, the market quotation for 55 powdered ammonium in Hubei Province was about 3200 yuan/ton, the factory quotation for 55 powdered ammonium in Henan Province was about 3250 yuan/ton, and the market quotation for 55 powdered ammonium in Sichuan Province was about 3100-3450 yuan/ton, with actual negotiation being the main topic.

The price of diammonium phosphate was adjusted in a narrow range this month. Inadequate performance of on-site demand for diammonium chloride has led manufacturers to narrow price adjustments. The enthusiasm for downstream procurement is average, the atmosphere for on-site trading is light, and the industry’s mentality is unstable. As of March 29, 64% of the diammonium chloride market in North China was quoted at around 3950-4050 yuan/ton, while 64% of the diammonium chloride market in Shandong was quoted at around 4000-4200 yuan/ton. The actual transaction was negotiated.

Raw material phosphate rock market, the domestic phosphate rock market as a whole ushered in a steady upward movement in March. The weather is gradually warming up, and the spring planting season is approaching. The downstream demand for phosphate rock is gradually recovering. The boost in downstream demand provides enhanced support for phosphate rock. The supply of phosphate rock in the field continues to be tight, with both supply and demand driving the overall strong operation of the dual driven phosphate rock market.

Market of raw sulfur: Domestic sulfur prices rose first and then fell this month. In the first ten days of March, the supply of sulfur in the market was stable, with good trading and investment in the terminal industry. The enthusiasm for purchasing in the downstream market increased. Sulfur refineries actively shipped, and some manufacturers raised their prices based on their own inventory. In mid to late March, sulfur market demand weakened and prices continued to decline.

3、 Aftermarket Forecast

According to ammonium phosphate analysts from the Business News Agency, the recent downturn in the market for raw sulfur has weakened the cost support for ammonium phosphate. Spring fertilizer has ended, and the fertilizer market has entered the off-season, resulting in poor demand at home and abroad. It is expected that in the short term, the market for ammonium phosphate will be dominated by weak consolidation and operation.

On March 28th, the price of domestic boric acid remained stable

According to the bulk list data of Business News Agency, the price of boric acid has remained stable recently, with an average price of 7850.00 yuan/ton.

Recently, the domestic boric acid market has remained stable due to fluctuations. Downstream demand is general, while the boric acid trading market fluctuates, and downstream bargains are sought. Boric acid manufacturers price their products based on their own shipment conditions, and the price of boric acid fluctuates slightly.

The source of imported goods has recently increased, and the current external quotations are concentrated at 8200-8500 yuan/ton (the actual transaction prices of different brands, different specifications, and products are mainly negotiated).

Boric acid analysts from the Business Agency believe that the recent domestic boric acid market has shown a trend of volatility and consolidation, with general market demand. It is expected that the market will mainly maintain stability in the future, and more attention needs to be paid to market news guidance.

According to data monitoring by the Business News Agency, the polyacrylamide commodity index stood at 93.13 on March 26, unchanged from yesterday, down 16.48% from the cycle’s highest point of 111.51 (2021-11-03), and up 12.35% from the lowest point of 82.89 on August 2, 2020. (Note: The cycle refers to 2019-04-01 to now)

Commodity market: According to data monitoring by the Business News Agency, the mainstream market of polyacrylamide (CPAM, cationic, molecular weight 12 million, 10-30 ionic degree) in China’s domestic market fell slightly during the week of March 20-26, 2023. On March 20, the market reported around 15285.71 yuan/ton, while on March 26, the market reported around 15242.86 yuan/ton, down 0.28%. Polyacrylamide started normally, with sufficient inventory. Downstream demand was not strong, and there was too much supply and too little demand. The market for polyacrylamide remained stable and weak.

Raw material acrylonitrile: According to data from the Business News Agency, the acrylonitrile market declined slightly during the week of March 20-26. According to data monitoring by Business News Agency, as of March 26, the bulk water price in the acrylonitrile market was 10325 yuan/ton, down 0.48% from 10375 yuan/ton at the beginning of the week. At present, the price of acrylonitrile from the tank is between 10200-10300 yuan/ton. The price of raw materials fell, and the cost of acrylonitrile continued to decline; The pressure on the supply side is still there, and the demand side has a rigid need for support; The acrylonitrile market is weak, with supply and demand slightly deadlocked. It is expected that the acrylonitrile market may continue to decline slightly in the future.

Raw Material Acrylic Acid: According to the data from the Business News Agency, the acrylic acid market fluctuated and fell during the week from March 20 to 26. On the first day, the main price in East China was 7975 yuan/ton, with an average price of 7250 yuan/ton on the 26th, a decrease of up to 9.09%. Recently, the price of raw material propylene has fluctuated and fallen, weakening cost support. In the current week, large factories at the supply end adjusted prices, while downstream procurement of raw materials was mainly based on demand. Actual market transactions were weak, and the focus of acrylic acid price negotiations was partially reduced. It is expected that acrylic acid light finishing will run in the short term.

Liquefied natural gas for production. According to data from Business News Agency, the price of domestic liquefied natural gas continued to decline during the week from March 20 to 26. As of March 26, the average price of domestic liquefied natural gas was 4252 yuan/ton, down 3.58% from the average price of 4412 yuan/ton on March 20. Cost support weakened due to lower feed gas prices in the city. Under cost pressure, domestic liquid prices have continuously declined. Currently, the market has sufficient supply and weak terminal demand. The heating season in the north is about to end, with a low industrial operating rate and a significant oversupply in the market. It is expected that the domestic LNG market will continue to be weak in the short term.

Future Forecast: Raw material and fuel prices have all fallen, and cost support has weakened. The polyacrylamide stock is sufficient, and under the economic environment, the demand for downstream demand orders continues to be weak. It is expected that the polyacrylamide market will continue to be weak in the short term in the future.