Market Report on Phthalic Anhydride (PA) – May 20

On May 20, the phthalic anhydride (PA) market in Jiangsu showed a stabilizing trend. Prices for ortho-xylene (OX)-based PA were mainly discussed in the range of 8,600–8,900 RMB/ton, while naphthalene-based PA was discussed at 8,100–8,400 RMB/ton. The PA industry exhibited a pattern of "naphthalene strong, ortho-xylene weak." Operating rates of PA plants remained at a high level, with stable industry utilization. Domestic PA supply was ample in the spot market. Crude oil prices maintained a high-level consolidation, while ortho-xylene prices fluctuated with a stabilizing tendency, and industrial naphthalene prices remained stable. PA production costs were temporarily stable. The naphthalene-based PA sector saw oversold inventory, while downstream plasticizer prices declined. Operating rates of plasticizer producers held steady, still providing some support for PA demand. Downstream buyers procured on a need-to basis, and the overall PA market displayed a weak but stabilizing trend.

Chempricehub Phthalic Anhydride Assessment
Bull/Bear Score: -0.5

Spot Market: In the Jiangsu region, the PA market showed a weak yet steady trend. OX-based PA offers were discussed at 8,600–8,900 RMB/ton, and naphthalene-based PA at 8,100–8,400 RMB/ton. Current industry operating rates remained high, with ample spot supply. On the cost side, support came from high-level consolidating crude oil and stabilizing OX and industrial naphthalene prices. However, downstream plasticizer prices were weakening, providing only limited support from essential demand. Without upward price drivers, the market exhibited a weak, fluctuating trend.

Ortho-Xylene (OX)
Bull/Bear Score: 0

As an upstream raw material for PA, OX prices showed a fluctuating but stabilizing trend. Stable PA industry operations provided steady demand support for OX. No significant bullish or bearish drivers were observed, and prices remained largely stable.

Industrial Naphthalene
Bull/Bear Score: 0.5

The PA industry displayed a "naphthalene strong, OX weak" pattern. Oversold inventory in the naphthalene-based PA sector implies strong demand for industrial naphthalene. Current industrial naphthalene prices were stable, with a slight possibility of a modest upward move.

Plasticizers
Bull/Bear Score: -1

Plasticizer prices were currently declining, with stable operating rates among producers. Only essential demand remained for upstream PA, while overall demand was weak, leading to a bearish price trend.

Crude Oil
Bull/Bear Score: 0

Crude oil prices remained in a high-level consolidation, providing steady cost support for downstream chemicals such as PA. No obvious trend-driving fluctuations were observed.