According to data monitoring by Business Society, the hydrogen peroxide market in the first eight months of 2025 was mainly characterized by wide fluctuations, with prices ranging from 680-740 yuan/ton and an overall increase of 0.48%. Starting from September, hydrogen peroxide experienced a strong upward trend, surging for two months with an increase of nearly 33%. After a sharp rise in the hydrogen peroxide market, it has experienced a sharp decline. As of December 25th, the average price of hydrogen peroxide in the market has fallen to 776 yuan/ton, a decrease of over 16% compared to early November. By 2025, the overall price of hydrogen peroxide will increase by 10.95%.
The main reason for the limited upward trend of hydrogen peroxide market in 2025 is loose supply and weak terminal demand.
Supply side: It is expected to add 4.85 million tons of production capacity throughout the year, but the production progress is constrained by market conditions, resulting in a low industry operating rate.
Demand side: Long term losses and unstable production of caprolactam downstream of the main force; The overall performance of the paper industry is average, with a flat demand for hydrogen peroxide.
The contradiction between supply and demand has led to a sluggish peak season for the hydrogen peroxide market in 2025, with weak fluctuations in the first eight months. The sharp rise in the market from September to October is mainly due to the temporary tightening of supply, while from November to December, the upward trend remains weak, with weak downturns being the main focus.
How will the hydrogen peroxide market perform in 2026?
In 2026, the core contradiction in the hydrogen peroxide industry is difficult to change, and there is insufficient momentum for a significant increase.
Short term trend: The current high price is expected to be difficult to maintain. With the resumption of production of the equipment that stopped in December and the possible decrease in downstream caprolactam load after New Year’s Day, the situation of oversupply in the market may reappear, and there is pressure for prices to fall from high levels.
Medium – to long-term challenge: overcapacity. In the long run, the industry still has nearly 20 million tons of planned construction capacity in the future, and the trend of “oversupply” is difficult to reverse in the short term. Process upgrade pressure: Currently, there are still about 11.07 million tons of production capacity in the industry using the outdated “acid-base fixed bed” process that needs to be phased out, accounting for 35%, facing pressure for technological transformation or withdrawal. However, relying solely on the elimination of old equipment is difficult to offset the huge amount of new production capacity, making it difficult for the industry to “slim down”.
baseline scenario
Moderate growth in supply and demand, with demand in the high-end sector offsetting some of the weakness in traditional industries. The cost pressure is relieved, and the price range of industrial grade hydrogen peroxide fluctuates.
Optimistic scenario
The demand for new energy and semiconductors exceeded expectations, coupled with intensified environmental policies to stimulate water treatment demand. The optimization of supply side production capacity is accelerating, and the increase in industry concentration is driving up the price center, especially for high-end products that may experience structural shortages.
Pessimistic scenario
The downward pressure on the global economy has intensified, with weak demand in the manufacturing industry and an excess of new production capacity. The intensification of low price competition has put downward pressure on the price of industrial grade hydrogen peroxide, leading to further contraction of industry profits.
Business Society’s hydrogen peroxide analyst believes that in 2026, the overall domestic hydrogen peroxide market may be better than in 2025. Due to oversupply and a slowdown in demand growth, the hydrogen peroxide market will continue to fluctuate widely, with an overall range of around 700-1000 yuan/ton.
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