Since mid-November, the domestic market price of ethyl acetate has continued to rise sharply. In less than two weeks, the price has risen by about 700 yuan/ton, an increase of more than 11%. At present, the price of domestic ethyl acetate and butyl acetate is basically the same, and some companies even exceed the price of butyl acetate. The last time this phenomenon occurred was in late 2015 and early 2016.
The decline in the butyl acetate market at the end of 2015 and the beginning of 2016 mainly came from two aspects. One was that the price of n-butanol and glacial acetic acid on the raw material surface continued to decline. Due to the decline in demand, the long-term bidding intention of n-butanol continued to increase, so the price continued to decline. From October to November, the price of n-butanol and butyl acetate were basically the same, and even the market fell below the 4,000 yuan/ton mark in November, which was lower than the price of butyl acetate. Under the pressure of glacial acetic acid oversupply during the year, the price also fell below the historical low. Under the condition of small profits for butyl acetate, the dependence on raw materials is relatively high (according to Jinlianchuang data, the correlation between the market price of butyl acetate and n-butanol is as high as 0.98, and the correlation between the market price of glacial acetic acid is as high
Under the impact of sluggish raw materials and weak demand, butyl acetate can only go all the way down. The demand for butyl acetate in the off-season in winter is lower than that of ethyl acetate, so the price of butyl acetate falls below the ethyl level.
In late November 2017, domestic ethyl acetate and butyl acetate prices were basically flat, mainly due to the crazy rise in ethyl acetate.
The rising point of the market is in South China. First, Jiangmen Qianxin limited production by 30% due to environmental protection factors in early October, which lasted until around November 12. The device was shut down for a week, and there is still a possibility of a negative reduction in the later stage. In addition, there is news of the government's request to relocate the device. Because the device is the largest production capacity of ethyl acetate in China, and South China is the main consumer of ethyl acetate, it has become the focus of ethyl acetate at this time. The instability of Qianxin's device has led to a sharp drop in local supply. Second, due to the sharp rise in domestic ethyl acetate prices from June to July, which lasted until mid-October, the market fell for a short time. Considering the high risk in the market, there are few middlemen to negotiate with cargo. Therefore, in the context of a decline in local supply and the arrival of cargo, ethyl acetate is extremely scarce in South China, and prices continue to rise.
In addition, in November, raw materials acetic acid and ethanol were at a high level, and some sources in East China and Shandong were exported, plus shipments to South China, resulting in a decrease in the supply side in East China and North China, and the inventory of enterprises was low. Therefore, the offer followed the price increase in South China.
Butyl acetate has entered the traditional off-season, and its own demand level is not as good as ethyl acetate, so the price is difficult to change. As a result, the price of ethyl ester catches up to the price of butyl ester.
