Weak demand weighs on market sentiment; formaldehyde prices continue to soften.

1. Key Points of the Day

① Formaldehyde market center declined
② Domestic methanol market fell

2. Today's Market Trends and Outlook

Table 1: Summary of Domestic Formaldehyde Prices (Unit: RMB/ton)

Based on the Shandong region, formaldehyde closed at 1,630 RMB/ton today, a period-on-period decline of 1.21%. The overall price center of the formaldehyde market shifted downward today. The decline in feedstock methanol prices led to a corresponding drop in cost levels. Affected by environmental regulations and other factors, downstream operating rates remained persistently low. Facing dual pressure from weak demand and high inventory, formaldehyde producers continued to cut prices to stimulate shipments. Chempricehub forecasts that the formaldehyde market will likely trade in a weak, fluctuating range in the short term.

3. Related Product Markets

Methanol: With tensions between the US and Iran easing, commodity futures including crude oil generally maintained a weak downward trend today. Significant intraday declines in methanol futures dragged down port market centers, with basis spreads consolidating within a narrow range. Inland markets also declined synchronously. Recent notable drops in fuel oil prices have weakened MTBE demand. Frequent afternoon tenders exerting downward price pressure have intensified bearish sentiment among market participants. In the short term, amid weak macroeconomic conditions and expectations of deteriorating supply-demand fundamentals, the market is expected to remain weak. Monitor the intensity of opportunistic buying during dips.