Recent price trends of hydrochloric acid

In May, the domestic hydrochloric acid market first rose and then fell, with uneven market performance. According to the Commodity Analysis System of Business Society, the overall price of hydrochloric acid in the domestic market increased by 5.13% in May. As of the end of the month, the average market price was 102.5 yuan/ton.

Upstream support is still present, and downstream demand is average

From the supply side perspective, the domestic hydrochloric acid market performed strongly at the beginning of the month, with manufacturers maintaining a low operating rate and low inventory. The upstream liquid chlorine market has been operating at a high level recently, with expectations of an increase, providing good cost support. After the middle of the month, the domestic hydrochloric acid market prices have fallen, manufacturers are operating normally, and some enterprises have accumulated inventory, resulting in excessive inventory.

From the perspective of the upstream and downstream industrial chain of hydrochloric acid, the upstream liquid chlorine market has recently stabilized at a high level, and cost support is gradually weakening. The downstream polyaluminum chloride market remains weak. In May, it fell by 1.97% and the market price was 1758 yuan/ton. Polyaluminum chloride manufacturers are gradually resuming production, and downstream procurement willingness is average.

Future Market Forecast

In early June, the market price of hydrochloric acid may not have improved, and some high priced acid companies still have the possibility of making up for the decline. The upstream liquid chlorine market lacks support, and there is still room for further decline in the downstream polyaluminum chloride market. Downstream purchasing willingness is average. Analysts from Business Society believe that the recent weak and volatile hydrochloric acid market is the main trend.