According to the Commodity Market Analysis System of Shengyi Society, from March 27th to April 3rd, the domestic BDO price rose from 8157 yuan/ton to 8433 yuan/ton, with a price increase of 3.39% during the period, a month on month increase of 14.41%, and a year-on-year increase of 5.97%. At present, the supply of BDO goods has decreased, and there are still favorable conditions on the supply side. The overall production of downstream industries has increased, leading to an increase in the digestion of raw materials. The pressure on BDO supply and demand is controllable, supporting the supply side’s market support mentality. Downstream on-demand contracts are being followed up.

On the supply side and in terms of equipment, multiple sets of equipment are still under maintenance, and the supply of goods is average. The favorable support from the supply side continues to support the market mentality of suppliers. The supply side of BDO is affected by favorable factors.
On the cost side, the domestic ex factory price of calcium carbide has been lowered from a high level. With the increase in previous prices driving the improvement of profitability, there has been an increase in the number of resuming production facilities, and the supply has gradually increased. The methanol market is fluctuating at a high level, supported by factors such as downstream olefin plant demand inquiries and purchases, and positive expectations for the restart of MTO plants in East China. The overall market sentiment is optimistic. The fluctuation of raw materials such as calcium carbide and methanol, coupled with the continuous pressure of losses in the BDO industry, has been influenced by favorable factors on the BDO cost side.
On the demand side and downstream side, the PBT industry has seen an increase in production, while other downstream demands remain stable, resulting in an overall demand volume. The upstream raw material trend is relatively strong, the cost pressure is increasing, and the mainstream spot offer is at a high level. The demand for BDO is influenced by favorable factors.
In the future, with weakened supply side support and hindered transmission of industrial chain costs, market prices are expected to stabilize after rising. With the restart of maintenance equipment, the supply of goods has increased significantly, and the favorable support from the supply side has weakened. There is no significant improvement in downstream demand, and the pressure of supply and demand may increase, which is detrimental to the mentality of operators. Business analyst BDO predicts that the domestic BDO market will mainly consolidate after rising.