During this review period (Aug 13–19, 2026), theoretical profits for the different butadiene production processes rose significantly. Within this period, the profit for the C4 extraction process was 3,141.72 yuan/ton, up 823.63 yuan/ton from the previous period; the profit for the oxidative dehydrogenation process was -113 yuan/ton, up 1,006 yuan/ton; and the production profit for the coal-to-naphtha process was -190 yuan/ton, up 1,026 yuan/ton. The sharp weekly increase in butadiene production profit was mainly driven by successive large price gains in the butadiene market and mainstream supplier prices, under the combined effects of limited spot supply available in North China amid expectations of a tight supply-demand balance, intensified supply concerns due to operating-rate cuts at some plants, and worries over reduced supply in East Asia.
Table: Butadiene production profits by process (unit: yuan/ton)
| Process | Current period | Previous period | Change | Change rate |
|---|---|---|---|---|
| C4 extraction | 3141.72 | 2318.09 | 823.63 | 35.53% |
| Oxidative dehydrogenation | -113 | -1119 | 1006 | 89.90% |
| Coal-to-naphtha | -190 | -1216 | 1026 | 84.38% |
Data source: Chempricehub
At present, the short-term market trading focus remains on supply tightness expectations in China and East Asia. Although the restart of Shenghong Refining & Chemical’s butadiene unit and the upstream/downstream units at Hainan Refining & Chemical has partly eased concerns over supply-demand tightness in East China, support for butadiene production profits remains solid before any clear reversal signals appear in the news flow concerning tight crude oil supply. However, current butadiene profit levels are notably high and are significantly squeezing downstream production margins. Negative feedback from declining consumption in some downstream industries may gradually emerge, so butadiene production profits are expected to face increasing resistance to further upward movement.
As of August 19, 2026, China’s butadiene market prices continued to rise. The weekly average delivered price in the Luzhong region of Shandong was 11,870 yuan/ton, up 1,019 yuan/ton period-on-period.
Sample description: Theoretical profits are monitored by Chempricehub based on raw material prices required for different butadiene production processes, sample enterprise prices for different butadiene processes, and market prices.
Statistical methodology: Butadiene production profit statistics by process are based on data as of Thursday of the current week and are released before 17:00 every Friday (working day).
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