Diethyl Carbonate FOB Shanghai Prices Fall 14.25% Amid Weak Export Demand

Diethyl carbonate FOB Shanghai prices decreased by 14.25% in June 2026 as softer ethanol feedstock costs, elevated operating rates and weak export inquiries pressured suppliers to reduce offers. The Diethyl carbonate market experienced bearish conditions throughout the month as domestic availability increased while international demand remained limited. Early June witnessed a decline in ethanol prices, lowering production expenses and encouraging manufacturers to adopt competitive pricing strategies.

Production availability for Diethyl carbonate increased as major facilities in Anhui and Zhejiang resumed higher operating rates after maintenance, while coastal plants continued running near nameplate capacity. Improved logistics flows enabled inland producers to transfer surplus material toward eastern terminals, increasing competition among suppliers. Inventory levels along the Yangtze region moved toward the upper end of normal ranges, prompting sellers to prioritize volume clearance before the seasonal midsummer slowdown, according to ChemAnalyst analysis.

Export demand for Diethyl carbonate weakened across major destinations, including South Korea, Japan and Germany. Battery electrolyte manufacturers reduced spot purchases after securing forward inventories, limiting demand from lithium-ion electrolyte applications. The slower pace of EV sector growth also affected Diethyl carbonate consumption, as cathode producers and related supply-chain participants delayed procurement decisions. European buyers remained cautious due to higher financing costs and uncertain industrial demand conditions.

Domestic supply fundamentals remained under pressure during June. Lower ethanol costs reduced variable production expenses, allowing Diethyl carbonate producers to maintain competitive pricing while operating at high utilization rates. Although Liaoyang Best Chemical in Liaoning conducted a short maintenance shutdown that temporarily removed capacity, the impact was limited due to sufficient regional supply availability. Higher coastal availability and estimated additional monthly output of around 6,000 tonnes further increased competition among exporters.

The Diethyl carbonate market outlook remains cautious for the coming months, with prices expected to face continued pressure from elevated inventories, strong operating rates and subdued export activity. However, potential changes in ethanol prices, energy costs and geopolitical developments could influence market direction. Diethyl carbonate prices may experience slower declines after July before gradually stabilizing toward autumn as seasonal demand improves and supply-demand conditions become more balanced.