Prompt

Introduction: Domestic rosin prices have recently consolidated around CNY 10,900/ton, with end-users maintaining only rigid demand. Consequently, rosin resin prices remain in a weak consolidation phase.

During the week, prices for Masson pine rosin and slash pine rosin remained generally firm, primarily due to low supply of crude gum and high production costs. However, downstream demand was limited, resulting in stagnant market transactions. Market participants hold mixed bullish and bearish sentiments. With no significant news driving the market in the short term, negotiated prices remained stable.

Regarding rosin resins, as the month-end approaches, November order visibility remains unclear. Rosin resin manufacturers are gradually procuring rosin and crude gum but maintain a wait-and-see attitude, showing low willingness to accept high-priced raw materials. As a result, negotiated prices continued to trade sideways.

On the petroleum resin front, mainstream prices for C5 petroleum resins used in adhesives rose by CNY 200/ton (with no change on the lower bound) to reach CNY 12,000–13,500/ton. Transaction prices for decyclized C5 petroleum resins ranged from CNY 10,800–11,600/ton, while hydrogenated petroleum resins held steady at CNY 13,500–14,000/ton. Overall supply recovery among petroleum resin producers has been slow, leading to tight availability. Meanwhile, there is virtually no room for further price increases in downstream products, making it difficult to pass on costs. Consequently, market trading activity has weakened.

Overall, since rosin is still within its production season, supply volumes are expected to increase. End-users exhibit bearish sentiment, limiting purchases to rigid demand, which keeps transaction volumes low. On the other hand, weakening demand for petroleum resins has reduced their ability to absorb high prices, thereby diminishing the supportive effect of substitutes on rosin resin prices.

Looking ahead to November, petroleum resin supply is expected to remain relatively tight. However, downstream demand release may fall short of expectations, and rosin gum supply will likely expand. Coupled with poor order conditions for rosin resins, positive market support is weakening. In the short term, rosin resin prices are expected to consolidate, followed by a slight downward adjustment tracking rosin prices.