Oxo-alcohols
The average spot price of n-butanol (NBA) in East China rose from yuan (CNY) 10,275/tonne in mid-August 2012 to CNY11,725/tonne in mid-October. This was its highest point in 2012. Market prices then fell to CNY10,900/tonne by 16 December, before rising from CNY10,925/tonne on 19 December to CNY11,800/tonne on 18 February 2013. After this, prices began to drop again.
NBA market prices rose from August 2012 as domestic producers lifted their offers, and because inventories were low at east China ports. Another important factor was an accident at Nippon Shokubai, which drove domestic butyl acrylate (butyl-a) prices up significantly.
Market prices fell in December as demand from end-users dropped and domestic producers reduced their offers.
The market price rose again from 19 December 2012 to 18 February 2013. One reason for this was the unexpected shutdown of a producer in Nanjing, which closed its unit for about seven days. Another reason was market speculation ahead of the Chinese New Year holiday.
The market began to show a weakening trend from 19 February.
Updated to mid-February
2-EH
The average spot price of 2-ethylhexanol (2-EH) in east China increased from yuan (CNY) 12,650/tonne in mid-August to CNY13,925/tonne in mid-September 2012, as domestic producers raised their offers in response to healthy demand from end-users. Furthermore, inventories at east China ports were low.
However, buyer resistance increased following the rise in 2-EH prices. Producers subsequently reduced their offers and prices fell to around CNY11,875/tonne in late December.
Prices were stable-to-firm from late December to late February 2013, in line with feedstock n-butanol (NBA) costs and subdued trading activity in the run-up to the Lunar New Year holiday.
Updated to mid-February 2013
NBA
The spot prices of n-butanol (NBA) in east China decreased from yuan (CNY) 10,500/tonne in mid-May to CNY9,575/tonne in late June, before rising to CNY10,000/tonne in early July. Prices have remained stable since.
NBA prices declined from mid-May to late June because domestic producers in China reduced their offers as a result of weak demand from end-users and declining crude futures.
Market sentiment strengthened in early July when crude futures rose, allowing domestic producers to increase their selling ideas.
However, from mid-July to early August, the prices for NBA fluctuated between a narrow range of CNY9,950/tonne and CNY10,050/tonne, influenced by the performance of crude futures during the same period.
Updated in mid-August 2012