Cost Rising, Inventory Low, Dichloromethane Market Significantly Rising

This week (September 11th to September 17th), the market for dichloromethane significantly increased. According to the Commodity Market Analysis System of Business Society, as of September 17th, the average price of dichloromethane bulk water in Shandong Province was 2945 yuan/ton, an increase of 8.47% from Monday’s 2715 yuan/ton. The high price of raw material methanol and the significant increase in liquid chlorine prices have led to a significant rebound in the cost center of dichloromethane; The domestic production of methane chloride is around 75%, and the inventory of enterprises is at a medium to low level. Dichloromethane has significantly increased, and as of September 17th, the factory price of mainstream dichloromethane bulk water in Shandong region is around 2900-3100 yuan/ton.

This week (September 11th to September 17th), the domestic methane chloride production started normally, with an overall production rate of around 75%.

This week (September 11th to September 17th), the price of raw material methanol was operating at a high level, and the price of liquid chlorine rose significantly again, with a significant increase in the cost center of dichloromethane. According to the Commodity Market Analysis System of Business Society, as of September 17th, the spot price of methanol was 2535 yuan/ton, an increase of 1.00% from Monday’s 2510 yuan/ton. As of September 17th, the acceptance price of liquid chlorine tank trucks in Shandong Province has significantly increased from Monday’s 300 yuan/ton at 700 yuan/ton, supporting the cost of dichloromethane.

The domestic production of methane chloride is around 75%, and the inventory of enterprises remains at a medium to low level, which supports the price of dichloromethane; At present, the demand for refrigerants is limited, and most downstream refrigerant manufacturers are still watching the market. The overall market trading is flat, and as the value and profit of refrigerants decrease, refrigerants have a resistance attitude towards high priced dichloromethane, and only maintain a certain level of just needed support for dichloromethane.

Future Market Forecast: According to the methane chloride data of Business Society, there is not much pressure on the supply side of dichloromethane, coupled with significant cost support. Overall, it is expected that the dichloromethane market will consolidate at a high level in the short term.