China Polymethyl Methacrylate market continues on downward trend
- 01-Feb-2022 5:56 PM
- Journalist: Yage Kwon
Polymethyl Methacrylate (PMMA) prices remained on a sluggish trend in the last week of January in China. Several market participants have reported consumption of PMMA has been weak owing to soft demand from downstream industries in light of lunar new year holidays and speculations around slowing GDP growth rate as Omicron spread continue to rage on.
Polymethyl Methacrylate prices has dropped by 2.3% in January owing to sluggish demand and stable supply fundamentals. Demand has dropped significantly in last few weeks in lieu of conclusion of buying activities ahead of spring season holidays.
Polymethyl Methacrylate market started 2022 on a weaker note stemming from declining demand from downstream acrylate sheet market. Global economy has been lacklustre owing to spread of Omicron worldwide, consistent stagnancy in production in automotive industry in last few quarters along with recent plunge in construction industry.
Feedstock Methyl Methacrylate market dynamics have also been soft-to-weak stemming from ample supply availability. Production levels have been stable as production rates remain close to 70% from major manufacturers in the region. Weak demand and stable supply have resulted in bearish pricing dynamics. This has in turn resulted in declined cost pressure over downstream Polymethyl Methacrylate.
As per ChemAnalyst, “Polymethyl Methacrylate market is expected to remain on the downtrend in coming weeks owing to sluggish demand fundamentals and ample supply availability. Market participants have been under pressure to release excess material in the market and keeping the prices bearish. However, demand of Polymethyl Methacrylate is expected to change momentum towards end of Q1 and early Q2 as volume intakes from acrylates are likely to improve which will increase inflationary over the available material.”