The price of caustic soda dropped this week (3.6-3.10)

1、 Price trend



According to the monitoring data of the Business News Agency, the price of caustic soda fell. The average market price in Shandong at the beginning of the week was 896 yuan/ton, and the average market price in Shandong at the end of the week was 860 yuan/ton. The price fell 4.02%, and the price fell 14.51% compared with the same period last year. The caustic soda commodity index on March 9 was 126.04, which was the same as yesterday, down 52.52% from the cycle’s highest point of 265.47 (2021-10-27), and up 93.58% from the lowest point of 65.11 on October 9, 2020. (Note: the period refers to September 1, 2011 to now)


2、 Market analysis


According to the survey data of the Business Agency, the domestic caustic soda price fell this week. The average market price in Shandong is about 800-870 yuan/ton. The ex-factory price of 32% of the mainstream liquid caustic soda in Hebei is about 850-1150 yuan/ton. The price of caustic soda in the site is weak. The overall supply of caustic soda is relatively sufficient, the downstream demand is less than expected, the intra-field trading atmosphere is weak, lack of positive factors to support, and the downstream is cautious.


According to the price monitoring of the Business Agency, there were 2 commodities that rose, 2 commodities that fell, and 1 commodity that rose or fell to 0 in the price list of chlor-alkali industry in the 9th week of 2023 (2.27-3.3). The main commodities rising were hydrochloric acid (6.02%) and light soda ash (0.36%); The main commodities falling were caustic soda (- 1.31%) PVC (- 0.98%). This week’s average rise and fall was 0.82%.


Analysts from the Business Agency believe that in the near future, the price of caustic soda has declined, the downstream alumina procurement is general, and the trading atmosphere is relatively light. Some caustic soda units have been lightened, but the overall supply is relatively sufficient. Downstream procurement is mainly based on demand, and the market caution is lingering. It is estimated that the weak operation in the later stage of caustic soda is mainly based on the downstream market demand.