Cyclohexane prices in China seesawed during Q4 2021
- 30-Dec-2021 11:35 AM
- Journalist: Xiang Hong
Prices of Cyclohexane in China during early Q4 continued to rise significantly, but as the year came to an end, Cyclohexane prices finally came to an ease. The stress of an extreme supply shortfall in October and November caused the Cyclohexane prices in the Chinese market to soar since the start of October till mid-December. Robust demand of Cyclohexane from downstream paint, solvent and cosmetics industries coupled with the rising feedstock and energy costs further added to the soaring prices for Cyclohexane. However, Cyclohexane prices in China fell by 20% in late December as demand decreased.
Prices of Cyclohexane settled at USD1680/MT and USD1620/MT FOB Dalian, in October and November respectively. Due to the postponement of the shipment arrival and delays in delivery time in these months, the market sentiments turned bullish which continued to adhere pressure on downstream consumers which ran in December as well. The consistent price quotations from traders along with the regional shortage of Cyclohexane resulted in a gradual climb in prices during early December.
Late December showcased a fall by USD300 from the preceding two months of the quarter backed by slash in the raw material Benzene prices by 15% from October to December in the Chinese market. The decline in Benzene prices resulted from the upliftment in crude oil inventories and dull buying sentiments in late December due to seasonal slowdown in downstream industries.
According to ChemAnalyst, “the Cyclohexane market is anticipated to remain volatile in the near term influenced by the prices of feedstock Benzene. As the supply of Cyclohexane in the spot market is likely to improve, the prices of Cyclohexane are expected to ease in the upcoming timeframe. However, downstream sourcing is cautious due to existing inventory levels amidst uncertain demand patterns.”