In May, the TDI price trend was weak and consolidated

According to the Commodity Market Analysis System of Shengyishe, the domestic TDI price continued to decline in May. At the beginning of the month, the average TDI market price was 15500 yuan/ton. On May 31, the TDI price was 15000 yuan/ton, and it was reduced by 500 yuan/ton within the month, with an overall decline of 3.23%.


In May, the TDI market was weak and consolidated. After the holiday, the TDI price weakened and decreased, mainly due to weak downstream demand and lack of favorable conditions on the market. In addition, the TDI factory equipment operated smoothly, and the supply of goods from suppliers was sufficient. The confidence in the trade market was insufficient, and cargo holders continuously lowered their quotations to promote shipment; In the middle and later half of the year, TDI prices showed a slight consolidation and increase. The terminal market had a strong demand for purchases, and downstream entry enthusiasm was not high. The market trading atmosphere was weak, and the trade market was mostly stable. The supply side was supportive of the market, and the market exploration was weak. Under the game of supply and demand, the TDI market remained stagnant.


The market situation of upstream toluene in May fell first and then rose. As of May 31st, the price was 7510 yuan/ton, a decrease of 100 yuan/ton from the beginning of the month’s price of 7610 yuan/ton, a decrease of 0.66%. The international crude oil price range fluctuates, and the cost support for toluene is weak; The production of xylene has decreased, and the demand for toluene has weakened; Port inventory has significantly decreased, supply pressure has eased, and toluene fluctuated during the month.


TDI data analyst from Business Society analyzed that currently, many TDI factories in China are operating smoothly. Although there are maintenance plans in the later stage, the transmission of supplier benefits is slow, downstream demand continues to be sluggish, market trading is weak, and confidence in the market is insufficient. Under the supply-demand game, it is expected that the short-term TDI market will remain stagnant, and specific attention will be paid to downstream follow-up.