[POM Daily Review] Spot Supply Tight, Market Trend Remains Firm

1. Today's Summary

The spot supply from the petrochemical plant is relatively tight. 。

②. The operators' mindset remains relatively firm.

2 Spot Overview

Table 1 Summary of Domestic POM Prices (Unit: Yuan/Ton)

Based on the Yuyao area, today's price of Yuntianhua M90 is 11,000 yuan/ton, remaining stable compared to the previous period. Today, the POM market remained stable and in a wait-and-see mode. Supply remained relatively firm, and sellers continued to hold firm on their offer prices. There were no significant changes in mainstream market quotations, while downstream users mostly adopted a wait-and-see attitude, resulting in negotiations and limited transactions. As of market close, the tax-included price of domestic POM in the Yuyao market was 8,100-11,200 RMB/ton, and the cash price in the Dongguan market was 7,300-10,400 RMB/ton.

3 Production Dynamics

This week, the domestic POM capacity utilization rate was 92.63%, an increase of 0.59% compared to last week. The 40,000-ton/year POM unit at Tianjin Bohua is shut down for maintenance, while POM units of other manufacturers are operating steadily. This week, the loss due to maintenance continues to decrease, resulting in a slight increase in operating rates. Methanol prices are falling, POM prices are rising, but the average price drop of POM is greater than the drop in methanol prices. As a result, the product's gross profit margin decreased, reducing the profit margin by 114 yuan per ton.

Figure 3: Trend of Domestic POM Capacity Utilization Rate in 2024-2025	Figure 4 Comparison of Domestic POM Profit and Price in 2024-2025 (Yuan/ton)
Data source: Longzhong Information	Data source: Longzhong Information

4. Price Prediction

Recently, trading sentiment in various regions has become subdued. The fundamentals remain strong, and petrochemical plants show a clear intention to maintain prices. Mainstream market quotations remain at high levels, and traders primarily follow the market to sell. Due to weak demand, there is some room for negotiation in certain offers. End-user factories have limited inventory digestion capacity, and users are mainly purchasing as needed, resulting in relatively average actual transactions. According to Longzhong’s forecast, the domestic POM market is expected to move sideways in the short term.

5 Related product information:

Methanol:Today's methanol spot price index is 2202.66, up by 9.60. Specifically, the spot price in Taicang is 2373, up by 5, while the price in the north line of Inner Mongolia is 2095, up by 10. According to Longzhong's monitoring of 20 major and medium-sized cities, prices in 10 cities have increased to varying degrees, with increments ranging from 3 to 60 yuan/ton. Today, the methanol market in the northwest continues its relatively strong trend, with the trading focus slightly shifting upwards. This is mainly supported by some olefin enterprises continuing to inquire about external procurement and the strong price-supporting willingness of production enterprises, leading to higher transfer prices among traders. The market sentiment is strongly bullish, and holders are reluctant to sell at low prices. Due to the transmission of the northwestern strength, downstream enterprises in northern Shandong are passively buying at higher prices. However, as most enterprises maintain medium to high levels of raw material inventory, procurement is still primarily need-based, and there is limited acceptance of high-priced sources.

6 Data Calendar

Table 2 Overview of Domestic POM Data (Unit: 10,000 tons)