According to the Commodity Market Analysis System of Business Society, TDI prices in East China continued to decline this week. On March 24th, the average market price in East China was 16500 yuan/ton, a decrease of 300 yuan/ton compared to the price of 16800 yuan/ton on March 18th, a decrease of 1.79%, and a decrease of 7.82% compared to the beginning of the month.

The TDI market is operating weakly, with low downstream purchasing enthusiasm and a small amount of low-priced purchases. In order to promote transactions, the focus of the market continues to shift downwards. At the same time, news of discounted supply from large factories in the north in late March was released in mid week, creating a strong wait-and-see atmosphere in the downstream market. In addition, Shanghai’s large factories have significantly lowered their TDI index prices this week, leading to a gradually stronger willingness for suppliers to ship. However, the downstream is affected by the sentiment of buying up but not buying down, and actual market trading is limited. TDI prices continue to decline.

The upstream toluene market remained stable and upward. On March 24th, the domestic average price of toluene was around 7300 yuan/ton, an increase of 0.14% compared to the price of 7290 yuan/ton on March 18th. The international crude oil price fluctuates narrowly, and there is still some support for the cost of toluene. Downstream prices of xylene have decreased, the domestic mixed blending market has recovered slowly, and demand for toluene is weak. In addition, high levels of toluene port inventory continue to exist, and supply pressure still exists. The price of toluene has remained stable with little fluctuation.

In the future market analysis, TDI data analysts from Business Society believe that factories are operating at high prices, with limited downstream demand, while holders are actively shipping. On site demand is poor, and downstream is gradually occupying a dominant position. There is a lack of positive supply side benefits. Under the supply-demand game, it is expected that the TDI market will continue to operate weakly in the later stage. Please pay attention to the follow-up situation of downstream purchasing.