1、 Price trend

According to the commodity analysis system of Business Society, the price of caustic soda has remained stable this week. The average market price from the beginning of the week to the weekend was 796 yuan/ton, a decrease of 2.69% compared to the same period last year.

2、 Market analysis

According to the Commodity Analysis System of Business Society, the overall domestic caustic soda prices have remained stable this week. The price of caustic soda in Hubei region is temporarily stable, with a mainstream market price of around 970-1050 yuan/ton for 32% ion exchange membrane caustic soda. The price of caustic soda in Shandong region is consolidating, with a mainstream market price of around 760-840 yuan/ton for 32% ion exchange membrane caustic soda. The domestic price of downstream alumina remains in a narrow consolidation trend, as the delayed increase in alumina content is less than expected, downstream production and supply are stable, and the available spot quantity in the market is limited. Overall, alumina prices are mainly consolidating and operating.

In May 2024, China imported 3024.37 tons of liquid alkali, an increase of 2980.865 tons compared to the previous month, with a month on month increase of 6851.78%. In May 2024, China’s liquid alkali export volume was 275644.752 tons, an increase of 159554.972 tons compared to the previous month, with a month on month increase of 137.44%.

According to the price monitoring of Business Society, in the 25th week of 2024 (6.17-6.21), there were 0 products that rose, 4 products that fell, and 3 products that rose or fell to 0 on the chlor alkali industry price list. The main commodities falling include PVC (-1.28%), light soda ash (-0.71%), and baking soda (-0.51%). The average increase and decrease this week is -0.43%.

Analysts from Business Society believe that in the near future, the price of caustic soda has been consolidating this week. It is expected that the utilization rate of caustic soda production capacity will be around 85.5% this week, and the utilization rate of production capacity may increase. Downstream aluminum oxide is mainly purchased on demand, and the comprehensive supply-demand game predicts that caustic soda may maintain a consolidating operation in the later stage, depending on downstream market demand.