Soda ash market pressure highlights falling prices and weak demand

Mondo Finance Updated on 2024-01-30

Recently, the domestic soda ash market is facing great pressure. Due to the lack of follow-up of new orders, soda ash ** showed a trend of falling from a high level. In the ** market, the main contract price of soda ash accumulated nearly 6% in the first three trading days of this week, and once fell below the 2,100 yuan ton mark on the 21st. In the spot market, Zhuochuang information monitoring data shows that as of December 21, the mainstream of domestic heavy alkali was delivered to the terminal at 2850-3050 yuan, compared with the beginning of December7%, year-on-year **44%。

According to Chen Qiusha, an analyst at Zhuochuang Information, the current soda ash spot is maintained at a relatively high level, but the downstream demand is weak, the resistance of end users to soda ash is obvious, and the enthusiasm for taking the goods is not high. This has led to the intensification of upstream and downstream games, and the inventory of soda ash enterprises has increased slightly. The situation of new orders received by manufacturers is not as good as in the early stage, and the pending orders of manufacturers have decreased significantly. In this case, some manufacturers are mainly flexible in receiving orders and shipping, and the focus of market transactions has shifted downward.

According to the statistics of Zhuochuang Information, as of December 21, the inventory of domestic soda ash enterprises was 3440,000 tons, an increase of 2 from the beginning of December5%。Chen Qiusha believes that due to sluggish demand and lack of market confidence, the domestic soda ash market is still under some downward pressure in the short term.

For the future trend of the soda ash market, market participants expressed concern. On the one hand, with the arrival of winter, some downstream industries will enter the off-season, and the demand for soda ash will further weaken. On the other hand, fluctuations in the international market may also have an impact on the domestic soda ash market. Therefore, soda ash enterprises need to pay close attention to market dynamics and flexibly adjust production plans and sales strategies to cope with the challenges brought by market changes.

In general, the current domestic soda ash market is facing greater pressure. In the context of weak and high demand, soda ash companies need to take active measures to meet market challenges. At the same time, the first and relevant departments should also strengthen supervision and guidance to promote the healthy development of the soda ash market.

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