1、 Price trend
According to the commodity analysis system of Shengyi Society, the overall price of caustic soda increased in July. At the beginning of the month, the average market price in Shandong was around 794 yuan/ton, and at the end of the month, the average market price in Shandong was 807 yuan/ton. The overall price increased by 1.64%, decreased by 1.34% compared to last weekend, and increased by 9.44% year-on-year. On July 29th, the chemical index was 874 points, a decrease of 1 point from yesterday, a decrease of 37.57% from the highest point of 1400 points during the cycle (2021-10-23), and an increase of 46.15% from the lowest point of 598 points on April 8th, 2020. (Note: The cycle refers to the period from December 1, 2011 to present)
2、 Market analysis
From the beginning of the month to the middle of the month, the price of caustic soda increased. Due to equipment maintenance in the Shandong region, some companies did not have much inventory pressure. Most companies increased their caustic soda prices by 10-20 yuan/ton, boosting downstream market sentiment and increasing downstream purchasing enthusiasm. At the end of the month, the equipment maintenance in Shandong region resumed, downstream procurement was average, demand was relatively weak, and caustic soda prices declined.
Can caustic soda prices rebound in August?
In terms of supply, there were 6-7 companies undergoing maintenance in July and August, with a production capacity of approximately 1.77 million tons. The supply and maintenance have narrowed or supported the price of caustic soda.
From a downstream perspective, some domestic alumina enterprises have increased their procurement of imported minerals to improve production, and currently mainly focus on fulfilling long-term orders. Aluminum oxide traders have a strong sentiment of cherishing their goods. It is expected that the short-term operating range of domestic alumina prices will be between 3850-4000 yuan/ton, and alumina prices may maintain a stable operating trend.
Business analysts believe that in recent times, caustic soda prices have fallen by the end of July, and the equipment of previous maintenance companies has gradually resumed, resulting in an increase in supply and inventory. The price of caustic soda is declining, but with the maintenance of the caustic soda plant in the later stage, it is expected that the price of caustic soda in late August may rise, depending on downstream market demand.
| http://www.pva-china.net |