What is driving the recent price weakness in China's gum rosin ester market?

What is driving the recent price weakness in China's gum rosin ester market?
China's gum rosin ester (138 grade) prices have drifted downward through late 2024, from around 11,500 yuan/ton in early October to 10,600 yuan/ton by mid-November in Jiangxi. The market is characterized as weak-to-stable, with mills reporting subdued transaction volumes. Key pressure comes from falling upstream rosin feedstock costs, which allow producers to lower offers, and from competition with petroleum resins — when petroleum resin prices drop, adhesive makers switch away from rosin esters to cut costs. Downstream buyers remain cautious, purchasing only for immediate needs rather than building inventories. One counterweight: rising prices for certain auxiliary raw materials have prompted some producers to hold offers firm, suggesting limited downside. Overall, the market lacks a strong catalyst for recovery, and near-term pricing is expected to stay range-bound with a slight downward bias.