PVDF Market Remains Stable, Industry Adopts Wait-and-See Approach

Market Overview: On February 3rd, the domestic PVDF market maintained stable operations. The industry's overall wait-and-see sentiment was strong, and expectations for price increases became more cautious. Actual transaction prices were generally lower than mainstream quotes, highlighting the market's strong characteristic of negotiation. As the Lunar New Year approaches, most manufacturers are experiencing tight inventory, and downstream stocking demand has led to a short supply on the supply side. In addition, some companies, influenced by raw material cost support and future market predictions, adopted a strategy of suspending quotations and not releasing new prices, only fulfilling previous orders, further intensifying the market's wait-and-see atmosphere. By category, the actual average transaction price for coating-grade PVDF was approximately 54,000 yuan/ton, with some companies quoting prices as high as 60,000 yuan/ton. However, high-priced goods saw weak transactions, and downstream willingness to accept them was limited. Lithium-ion battery-grade PVDF performed relatively strongly, maintaining a stable to firm trend supported by steady growth in demand from the energy storage sector and solid raw material costs. Currently, the mainstream price range for various PVDF categories in China is 45,000-65,000 yuan/ton for lithium-ion battery grade and 40,000-60,000 yuan/ton for coating grade. Actual transaction prices show significant differentiation due to differences in downstream customer structure, order scale, and cooperation models.

Cost side: As of February 3rd, the average ex-factory price of domestic 97% fluorite wet powder was 3324 yuan/ton, which remained largely unchanged from the previous business day. Currently, the mainstream ex-factory price for 97% wet powder in North China ranges from 3150-3350 yuan/ton, in Central China from 3250-3400 yuan/ton, and in East China from 3250-3450 yuan/ton. Actual transaction prices may vary depending on delivery methods, transportation distances, and quality differences, with some room for negotiation. Outlook: The fluorite market is expected to remain stable in the short term, with a wait-and-see attitude and price fluctuations within 0-50 yuan/ton. On February 3rd, the average market price of industrial-grade anhydrous hydrogen fluoride was 11949 yuan/ton, unchanged from the previous business day. Current raw material sulfuric acid prices are fluctuating at high levels, and fluorite has seen a slight increase, leading to high overall costs. Amidst concerns about profitability and weak demand, manufacturers' willingness to operate has decreased, and market supply is showing a trend of reduction. The overall market supply and demand situation is characterized by weakness on both sides. With market delivery taking precedence and short-term absorption of price increases, hydrogen fluoride is expected to remain stable. On February 2nd (Monday), the sulfuric acid market sentiment was warming, with prices stable to upward. The average market price of Baichuan Yingfu 98% acid was 988 yuan/ton, an increase of 2 yuan/ton or 0.2% from January 30th. Sulfuric acid prices in the Panzhihua region of Sichuan have been raised, with an increase of 80 yuan/ton on January 31st. Downstream demand for titanium dioxide in the region is mainly for rigid needs, and downstream self-produced sulfur sulfuric acid units are operating at low levels. Acid producers are experiencing smooth shipments and no inventory pressure, coupled with upward pressure from the neighboring Yunnan acid market, leading to an increase in sulfuric acid prices. Sulfuric acid prices in Guangdong remain stable, with stable operating rates for downstream electronic chemicals and other enterprises in the province. Provincial acid producers have low inventory, and the pricing for raw material pyrites in February reflects a standard increase of 50 yuan/ton. With both cost and supply benefiting, Guangdong acid prices are expected to rise within the week.

Demand side: Demand in the lithium-ion battery sector maintained a steady and positive trend, with orders in the energy storage sector experiencing substantial growth, becoming the core driver of demand growth for battery-grade PVDF and continuously boosting the activity in this niche market. Traditional application fields such as coatings and injection molding entered a slow demand season. Downstream enterprises showed low willingness to accept high-priced goods, and procurement largely followed a just-in-time replenishment strategy, leading to significant pressure on transactions for high-priced goods. Demand in other application fields such as photovoltaic backsheets and water treatment membranes remained sluggish, with few market transactions, having a weak pull on the overall PVDF market and failing to form effective support for now.

Market Outlook: Short-term market performance is expected to be characterized by strong volatility. The price center for battery-grade products is projected to shift upward moderately, while coating-grade products will likely remain stable with a slight upward trend. Key factors to monitor moving forward include the supply and price fluctuations of R152a/R142b raw materials, the actual fulfillment volume of energy storage orders, and the impact of high-end product certification progress on effective supply. Overall, the market is expected to maintain its strong momentum in the later period; actual transaction prices of PVDF are anticipated to gradually converge toward mainstream quotations, potentially driving a slight upward adjustment in quoted prices.