Price Trend

This week, the domestic dimethyl ether Market was supported by raw materials and went up broadly. At the beginning of the week, the average domestic market price of dimethyl ether (Henan) was 2880 yuan/ton, and the weekend average price was 3040 yuan/ton. Within the week, the price increased by 5.56%, which was 35.11% lower than that of the same period last year.

II. Market Analysis

Product: Dimethyl ether (Henan) market rose sharply this week. In the early period, the domestic supply was excessive as a whole. In addition, August was the off-season of market demand and the terminal consumption was slow. Cost methanol and liquefied petroleum gas market trend is weak, bearish market mentality, downstream market entry caution, wait-and-see, prices continue to bottom. The off-season ends and enters September. Influenced by the gas market, it ushered in the traditional sales peak season. The market demand will improve, but there is no obvious improvement at present. The main reason for this rebound is the strong rise of raw material methanol, the rise in cost has seriously reduced the profits of dimethyl ether enterprises, some enterprises have been in a loss state, so there has been a stop-drop rebound. This week, Henan Heart-to-Heart End Bottom Guarantee, Wednesday began to lead the rally, tentative upward, the market response is still acceptable, manufacturers shipment situation improved, the latter continued to rise, small factories around have followed the rally. Influenced by the rising cost of methanol, the dimethyl ether Market is strong, with a rise of 5.56% in the week.

Industry chain:
Methanol: This week, the domestic methanol market is on the strong side, driven by the rise in futures prices, the trading atmosphere in the mainland is good, the price is advancing with the trend. The main producing areas have increased by 90-130 yuan/ton this week, and North China, Shandong and other places have followed. The Harbor was on the strong side of the shocks. The harbor rose by 100 yuan/ton this week. The total inventory of ports in eastern and southern China was 23.613 million tons, an increase of 93.7 million tons over the same period last week, which maintained an increasing trend. Note: Sample inventory data in Nanjing area have been increased since August. In methanol to olefins, Ningbo Fude and Inner Mongolia Jiutai MTO plants have resumed normal production.

Liquefied Gas: This week, the domestic liquefied gas (Shandong) market has been narrowly adjusted, and the fluctuation is not obvious. At the beginning of the week, crude oil fell for two consecutive days, affecting the market mentality. In addition, the downstream consumption rate increased slowly. Most of the manufacturers’inventories are above the middle level. Shandong market yields slightly and deliveries mainly. Thursday’s surge in international crude oil boosted the liquefied petroleum gas market, but it was not obvious. Manufacturers stopped falling and maintained stability, guaranteed priority for shipments, and the trading atmosphere in the market was tepid in the week. September is the traditional sales season, spot market trend with signs of recovery, but the downstream consumption rate is not as fast as expected.

3. Future Market Forecast

Dimethyl ether business analysts believe that the cost: methanol market is expected to show a regional market next week, the trend will be reflected in the stable rise and fall; liquefied gas market downstream consumption rate is slow, expected to rise steadily in the next week. Demand: Dimethyl ether Market actual demand is still weak, next week Hebei Jichun and Qinyang Shengxin resumed production, increased supply, market negative. However, due to the impact of the traditional gas market sales peak season, there is still some support for the market. Expect future market or narrow upstream.