1.This week's market review: The average market price fell this week.

This week, the average price of domestic PA6 fell. As of the closing on Thursday, the mainstream shipment focus of the regular spinning medium viscosity PA6 market was RMB10,600-11,000/ton, up 0.47% from the closing price last Thursday; the low value of the closing price this Thursday was the same as the closing price last Thursday, and the high value was RMB100/ton higher than the closing price last Thursday; the weekly average price was RMB10,725/ton, down 1.24% from the average price last week. As of the closing on Thursday, the mainstream negotiation focus of the high-speed spinning semi-dull PA6 spot market was RMB11,100-11,550/ton, down 0.88% from the closing price last Thursday; the weekly average price was RMB11,365/ton, down 1.30% from the average price last week. The prices of raw materials remained low this week, and there were more news about the production cuts of PA6. The price of regular spinning increased slightly, while high-speed spinning was weak.

2.Driving Factor Analysis: Supply Forecast Reduction Leads to Slight Price Increase in PA6 After Hitting Bottom

This week, the caprolactam market saw a slight decline followed by stabilization. As of the close on Thursday, the reference range for the spot market price of liquid caprolactam in East China was between 9,700-9,800 yuan per ton. The weekly average price was 9,760 yuan per ton, down 240 yuan per ton compared to the previous week's average, representing a 2.40% decrease. During the week, downstream PA6 sales showed some improvement, boosting PA6 prices slightly; meanwhile, caprolactam plants continued to announce production cuts or maintenance, reducing supply and providing some support for stabilization. However, with the挂牌price of pure benzene set by Sinopec further decreasing by 350 yuan per ton to 6,600 yuan per ton, the cost support weakened, and there were no favorable factors on the cost side for caprolactam, which undermined confidence in downstream and terminal markets, leading to a slowdown in trading activity. Approaching the weekend, downstream buyers had mostly completed their purchases, and market participants maintained a cautious观望 stance regarding future trends. Overall, the reduction in supply and improvement in demand offset the negative impact of the weakening cost support, resulting in stabilization of the caprolactam market.

This week, the raw material caprolactam market operated at a low level, and the PA6 cost side lacked favorable support. News of production cuts in the PA6 market increased, prices hit bottom, downstream purchasing sentiment improved, PA6 manufacturers' transaction conditions improved, and some manufacturers raised their offers slightly, showing a slight reluctance to sell at low prices.

3.Next week's market outlook: It is expected that the price increase for PA6 will be limited next week.

It is expected that the average price of PA6 market will rise slightly next week. Some PA6 production facilities are planned for maintenance next week, which is expected to reduce supply and alleviate supply-demand conflicts. Downstream orders may continue to follow demand, with PA6 market transactions driven by just-in-time needs, while raw material prices may stabilize after a decline. Overall, it is anticipated that the PA6 market price will rise next week, but the increase will be limited. The average price of PA6 regular spinning medium viscosity is around 10,825 yuan/ton, which is a slight increase compared to this week's average price, with a trading range of 10,600-11,000 yuan/ton.