According to the Commodity Market Analysis System of Shengyi Society, as of February 26, 2025, the reference price of n-butanol in Shandong Province, China is 7133 yuan/ton. Compared with February 1 (reference price of n-butanol is 7066 yuan/ton), the price has increased by 77 yuan/ton, an increase of 0.94%.

In February, the overall n-butanol market in Shandong region of China showed a trend of “rising first and then falling”. In early February, with the return of the Spring Festival holiday, the n-butanol market in Shandong Province experienced an upward trend. As of February 15th, the reference price for n-butanol market in Shandong was 7300-7400 yuan/ton, with a 3.63% increase in the first half of the year.

In late February, the downstream stage of n-butanol stocking was basically completed, and the focus of n-butanol market negotiations shifted downwards. As of February 26th, the market price of n-butanol in Shandong region is around 7100-7200 yuan/ton, with a decline of 2.59% in the latter half of the year.

Analysis of Market Factors

In terms of supply and demand: In early February, after the holiday, some factories in the n-butanol field are expected to start production later, resulting in overall tight supply and lower supply pressure. Downstream demand for n-butanol is gradually recovering, and downstream demand is entering a stage of stocking. With the support of supply and demand, the market price of n-butanol is constantly moving upwards. The downstream stage stocking of n-butanol has basically ended, and the demand side has weakened, providing loose support for n-butanol. The overall supply side of n-butanol is under certain pressure, and some factories have shifted the focus of n-butanol market negotiations to ensure low inventory and make concessions for shipment.

In terms of cost: In February, the upstream propylene market fluctuated, but after the Spring Festival, the rise in the propylene market provided stronger cost support for n-butanol. Subsequently, the downward market trend weakened the support for n-butanol. As of February 25th, the reference price of propylene was 6810.75 yuan/ton, a decrease of 0.18% compared to February 1st (6823.25 yuan/ton).

Market analysis in the future

At present, the overall operation of the n-butanol market is being consolidated, and the overall negotiation atmosphere in the market is relatively low-end. n-butanol factories are mostly stabilizing prices and shipping, while downstream users are mainly purchasing for essential needs at low prices. The n-butanol data analyst from Shengyi Society predicts that in the short term, the domestic n-butanol market will mainly adjust its operation within a narrow range, and specific changes in supply and demand news need to be closely monitored.