PMMA Daily Review: Demand Follow-Up Weak, Market Stalemate Weakly Operational

1. Today’s Summary

Today, the domestic PMMA particle market is generally quiet and stagnant, with spot prices remaining stable across the board, showing no significant fluctuations.

2. The industry’s operating load edged down, with capacity utilization falling to 49%, while industry profits also weakened marginally.

3. Raw material prices showed mixed movements. MMA prices remained stable, while methyl acrylate edged up slightly. Overall cost-side support was relatively weak.

4. End-user inquiries remain sluggish, making it difficult for market transactions to gain volume. Market participants are operating cautiously, and the market is expected to maintain a weak and range-bound trend in the short term.

II. Spot Overview

Today, the mainstream for PMMA particles in East China remains at 12,500-15,600 yuan/ton, with no changes in market prices and no significant fluctuations. At the beginning of the week, the market fundamentals have limited changes, and holders actively adjust prices with a tendency to quote lower, largely waiting for downstream inquiries and transactions. The enthusiasm for inquiries from end-user factories is relatively weak, with a slow pace of replenishment for essential needs. The overall trading atmosphere in the market is subdued, with actual transactions primarily consisting of sporadic small deals, making it difficult to release overall trading volume, resulting in a typical stalemate in the market.

The raw material market shows a mixed trend, with the price of MMA in East China remaining stable at 12,350 yuan/ton, providing neutral support to the market. Methyl acrylate has slightly increased by 100 yuan/ton to 8,800 yuan/ton, but the limited rise has not been able to boost market sentiment, resulting in a weak guiding effect from the overall cost side on the spot market.

3. Production Updates

Today, the domestic PMMA particle industry’s capacity utilization rate stood at 49%, down slightly by 1% from the previous period. Overall operating rates across the industry remained low, and market supply was relatively ample. Forecast data indicate that both capacity utilization and industry profits will continue to decline during the current period, with profit margins narrowing at the margin. Producers lack sufficient motivation to support prices, further exacerbating the market’s weak outlook.

4. Price Prediction

Short-term domestic PMMA particle market continuesWeakness stagnates, narrow range operation.Currently, the market lacks positive drivers, terminal demand remains weak, new orders are scarce, and intermediaries are cautious in their operations, following the market trends. The support from the raw material side is limited, coupled with a simultaneous decline in industry operating rates and profits, constraining the market's upward potential. Overall, there are no significant fluctuations in the market, and it is expected to maintain a weak consolidation in the short term, with a focus on changes in manufacturers' operations and the follow-up of terminal demand.