Recently, domestic vinyl acetate prices have remained stable, but the current price is already high in the past three years, and the difference between the calcium carbide method and the ethylene method is still large. Market participants are concerned about the restart of the Great Wall Nenghua device. How will the market develop?
In terms of supply, the current domestic production of vinyl acetate production process accounting for 55%.
In terms of raw materials, ethylene prices in Asia fell by US$25-40/t last week. As ethylene prices in the US continue to hit record lows, the global ethylene and ethylene derivatives market is under pressure. At present, the spread between Europe, the United States, and Asia is relatively large. Trader arbitrage operations have resulted in sufficient supply in Asia and the ethylene market has been under pressure.
At the end of April, Celanese in Singapore and Dalian, Taiwan, acetic acid plant were unexpectedly suspended. The United States BP accidentally stopped, leaving the domestic manufacturers with little inventory and a good export background. The market actively raised its price, and the price of acetic acid was relatively high.
The domestic calcium carbide market rose steadily, it is understood that the environmental protection group will settle in Inner Mongolia on May 20, and environmental protection will affect the start of the installation. It is expected that the performance of calcium carbide will continue to strengthen.
The cost analysis, due to the current calcium carbide method is still acceptable, the current price of raw materials acetic acid and ethylene have a greater impact on vinyl acetate.
In terms of demand, the demand for downstream terminals is generally high. Buyers are highly resistant to high prices, and traders are also cautious.
The market outlook predicts that raw material acetic acid prices will support short-term recovery.