Cost Support Eases; Formaldehyde Remains Stable but Shows Signs of Weakening

1. Key Focus Today

① Formaldehyde market remains largely stable, with localized price reductions.
② Domestic methanol market center of gravity declines.

2. Market Trends and Outlook

Table 1: Summary of Domestic Formaldehyde Prices (Unit: RMB/ton)

Using the Shandong region as a benchmark, formaldehyde prices closed today at 1,950 RMB/ton, remaining flat compared to the previous period on a month-over-month basis. The formaldehyde market is primarily stabilizing, with some areas showing weakness. Raw material methanol prices dropped significantly, greatly alleviating cost pressures. Most formaldehyde producers are maintaining stable prices while waiting for market clarity. Downstream buyers are making limited purchases based on rigid demand, resulting in thin trading activity. In Anhui, prices followed the downward trend driven by reduced costs, with decent transaction volumes. Chempricehub forecasts that the formaldehyde market’s price center will likely weaken in the short term.

3. Related Product Markets

Methanol: Today, the domestic methanol futures and spot markets experienced significant broad-based declines. Futures opened with a sharp drop and traded weakly at low levels throughout the day. Port prices fell between 200–600 RMB/ton intraday, with basis weakening substantially and buyers becoming cautious. Currently, negative feedback from downstream olefin plants has intensified, compounded by previously inflated prices, leading to weak holding sentiment across the market. Trading centers in various regions have adjusted sharply downward. In the short term, given the weakening supply-demand dynamics, the market is expected to continue trending sideways with a bearish bias.