In November, the cost collapsed & the supply was loose, and the price of butyl acetate fell continuously

This month, the domestic market price of butyl acetate continued to decline, mainly affected by the weak cost and weak demand caused by the decline of upstream acetic acid. According to the monitoring of business society, butyl acetate fell by 14.7% in the month. At the end of the month, the domestic mainstream quotation of butyl acetate was 10400-10600 yuan / ton. At present, butyl acetate has entered the process of continuous bottom exploration.

First of all, in terms of the upstream acetic acid market, the acetic acid price continued to rise in the first half of the month, mainly due to the tightening of supply, the extension and load reduction in Shaanxi, the shutdown and maintenance of Jiangsu Thorpe, the gradual easing of the industry inventory pressure, and the upward shift of the focus of acetic acid trading. The price of acetic acid began to decline in the middle and late part of the year. Although the Jiangsu Thorpe plant was shut down, there was a large amount of inventory accumulated in the early stage, the market entered the de inventory cycle, and some downstream entered the off-season in winter. The purchase of raw materials was mainly rational, and most of the contracts and Inventory were digested.

In addition, in terms of upstream n-butanol, according to the monitoring of business society, n-butanol also fluctuated lower in November, with a decrease of 11.0%. The transaction performance of n-butanol market in Shandong is relatively light, the downstream plants are generally started, and the demand is mainly to maintain the rigid demand. The cost decline caused by the decline of acetic acid and n-butanol continued to be bad for butyl acetate.

In terms of supply and demand, the operating rate of major manufacturers is high this month, and the market supply is sufficient. Under the pressure of inventory, the prices of major manufacturers fell again and again, with a cumulative decline of more than 1000 yuan in the whole month. The manufacturer’s shipment speed is weak, and the price support psychology is weakened, which has a significant impact on the market. In addition, traders are not active in taking goods, and downstream factories on the demand side are only limited to just need to buy. Market trading is not active, demand follow-up is insufficient, and the market has not substantially improved.

Future forecast: in the short term, the cost side may still be not good, and the supply side is also relatively sufficient. Although the load of enterprises is reduced in the latter ten days, the social inventory is still high due to weak demand, and it is still in the stock removal stage in the later stage. It is expected that the recent ethyl acetate Market is still weak.