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Intensified long-short tug-of-war leads to weakening domestic cyclohexanone prices with volatility.

Published on 2026-06-26

Introduction: Recently, the domestic spot cyclohexanone market has continued its downward trend. The upstream raw material side lacks cost support, coupled with generally low operating rates in the downstream caprolactam sector. With multiple bullish and bearish factors pulling against each other, market prices remain in a downward channel. As of June 26, the East China cyclohexanone price is referenced at 8200-8300 yuan/ton.

Fundamentals Remain Weak, Cyclohexanone Market Under Pressure to Decline

Weekly Price List of Cyclohexanone and Related Products (Unit: yuan/ton)

Product Region/Grade June May Change Change %
Benzene East China spot 7290 8194 -904.00 -11.03%
Cyclohexanone East China spot 9031 9950 -919.00 -9.24%
Caprolactam Liquid East China spot 11176 11924 -747.68 -6.27%
PA6 Regular Spinning Chips East China market 11406 12245 -839.18 -6.85%
PA6 High-Speed Spinning Chips East China spot 12014 13008 -994.00 -7.64%
Nylon Filament POY East China 13921 15034 -1113.00 -7.40%
Nylon Staple Fiber 1.5D East China 13655 14900 -1245 -8.36%

In June 2026, prices of upstream and downstream products for domestic cyclohexanone weakened across the board, forming a coherent downward transmission from top to bottom. The price declines showed layered differences: upstream raw materials fell most sharply, downstream textile products experienced the next largest decline, while intermediate chemical intermediates saw relatively moderate drops. The price of raw material benzene dropped significantly, with loose market supply and low capacity utilization rates of downstream caprolactam. Overall demand for chemical fiber chips and solvent markets was tepid, directly dragging down the cost center of cyclohexanone. As of June 26, the East China cyclohexanone price is referenced at 8200-8300 yuan/ton, cash delivery.

High Raw Material Prices Pressure, Cyclohexanone Industry Profitability Diverges

Currently, the cyclohexanone-caprolactam integrated supporting system continues to improve. As a key chemical intermediate, the proportion of cyclohexanone external sales commodities is gradually shrinking. Recently, the price spread between benzene and cyclohexanone has fluctuated within the range of 1500-2000 yuan/ton. Industry profitability performance shows divergence: the hydration process's profit is close to the cost line, operating on thin margins, while the oxidation process purchasing external benzene is in a loss state. As of June 26, the theoretical profit for the hydration method cyclohexanone is 185 yuan/ton, and the oxidation method is at a loss of 815 yuan/ton.

Downstream Caprolactam Capacity Utilization Low, Follow-up Orders for Chemical Fiber Limited

Operating Status of Some Caprolactam Enterprises (Unit: 10,000 tons/year)

Enterprise Name Caprolactam Capacity Caprolactam Operation Status
Shanxi Lubao 10 Operating at 90% load.
Shanxi Yangmei 30 200,000-ton unit in normal production, 100,000-ton unit shut down.
Nanjing Dongfang 40 Unit shut down.
Baling Hengyi 50 Operating at about 60% load.
Zhejiang Juhua 10 Unit shut down.
Fujian Tianchen 35 Operating at about 80% load.
Yongrong Technology 65 Operating at about 70% load.
Pingmei Shenma 38 Operating at 70-80% load.
Hunan Petrochemical 60 Operating at about 80% load.
Lunan Chemical 40 Operating at about 60% load.

Data source: chempricehub Information

From the downstream demand perspective, most domestic caprolactam enterprises have their own supporting cyclohexanone production capacity, only occasionally procuring raw materials externally in small amounts. However, this month, the overall industry operating rates are generally low, chemical fiber orders are slow and small in number, and the scale of rigid demand procurement has significantly contracted.

On the other hand, the production operations of cyclohexanone export-type units are stable. After the downstream caprolactam reduced loads, the amount of commercial goods available for external sale by some enterprises has simultaneously increased. Market circulating supply is ample, further exacerbating the supply pressure on the spot market.

Multiple Bullish and Bearish Factors Intertwined, Short-Term Market Difficult to Change Weak Fluctuations

On the cost side, the supply-demand pattern of benzene in July is expected to improve, and the market anticipates prices may open low and then rise, but the recovery momentum is limited. On the supply-demand side, against the backdrop of improving industry integration, it is difficult for downstream caprolactam operating rates to quickly recover. The supply of market-circulating commodity S is continuously ample, and the spot market is generally in a supply-exceeds-demand pattern. With multiple bearish factors superimposed, the cyclohexanone market lacks upward driving forces in the short term and will continue to operate in a weak trend.

Comments

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  • Elena Vasquez 2026-06-26 20:05
    The persistent weakness in caprolactam operating rates is crushing downstream demand for cyclohexanone, and with feedstock costs falling, margins are getting squeezed tighter—no quick rebound expected.
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