How Will the Increased Soda Ash Values Impact the Sodium Bisulfite Market in China
- 20-Jun-2022 5:45 PM
- Journalist: Li Hua
According to ChemAnalyst, Sodium Bisulfite prices are projected to incline upwards in the Chinese domestic market as feed Soda Ash values continue to rise. Sodium Bisulfite prices were estimated at USD 484 per MT last month and are forecast to rise to USD 495 per MT by the end of June, according to our sources.
The market price of Sodium Bisulfite has been revised again this week by some manufacturers, causing the domestic price to climb at the start of the month. Last week, the domestic Sodium Bisulfite market performed well as a whole, with the majority of completed orders coming from existing customers. The price of domestic soda ash has climbed by 1.75 percent since the beginning of June, whereas the price of feed sulphur has reduced by 1.78 percent. However, rising soda ash prices, which have further propelled the cost of Sodium Bisulfite in China, have weighed heavily on the market. The cost of upstream raw materials is still high in general, and this will support the price of Sodium Bisulfite in the short term.
Given that China is the world's largest supplier of Sodium Bisulfite, the country's ever so often lockdowns have hampered trade with importing countries significantly. As forecasts for bottleneck relief have come and gone with no improvement, it has become clear that the delays off the coast will take a bit longer to improve. Manufacturing and logistics continue to be stifled by China's "ineffective" zero-tolerance regulations and limitations. To make up for the missed time, ocean carriers are increasing the number of cancelled sailings or skipping ports. The schedule's consistency, on the other hand, is not improving. According to Shanghai Securities News, China is also contemplating "exceptional" new regulations to assist downstream industrial enterprises whose profits have been harmed by the high cost of raw materials.
In a report released on Monday, the Ministry of Industry and Information Technology stated that they are looking into ways to improve the structure of supply-side policies, boost consumer demand, and promote technology investments. According to ChemAnalyst, the domestic market price of Sodium Bisulfite will remain robust in the near term due to cost support.