Introduction: The domestic unsaturated polyester resin market has continued its weak consolidation trend. As of June 11, the mainstream ex-works price in East China fell to the range of 9,900-10,000 RMB/ton. Performance on the upstream cost side was divergent. While maleic anhydride prices saw a slight uptick, prices of other major raw materials generally corrected. Overall, although raw material costs continued to decline, they remain at elevated levels. The demand side remained persistently weak, with end-users primarily purchasing on a need-to basis. Some traders offered slight concessions to stimulate shipments. On the supply side, the overall industry operating rate remained stable, although some regions saw reduced unit loads, with limited impact on total market supply at present.

I. Price Declines Dominate for Unsaturated Polyester Resin and Related Products

As of June 11, compared to early May, the cumulative decline in unsaturated polyester resin prices was 600-700 RMB/ton, representing a decrease of 5.66%-5.71%, showing a continuous downward trend. The sustained decline in major raw material prices significantly weakened cost support. Prices of raw materials like styrene dropped, a decrease of 13.93% compared to the previous period. Propylene glycol simultaneously fell by 11.63%. Neopentyl glycol performed the weakest, plummeting by as much as 20.65%. On the supply side: The industry operating rate increased, but spot inventory pressure remained high, leading many resin plants to intend to shut down or reduce operating rates. On the demand side: Current raw material prices show a divergent trend. Downstream enterprises continue to have low purchasing willingness, generally maintaining a cautious wait-and-see attitude and replenishing inventory only based on rigid demand. Affected by the traditional consumption off-season combined with weak demand, market trading activity decreased significantly. Transactions were mostly limited to small-lot, need-based purchases. With buyers dominating price negotiations, prices came under pressure and tracked the decline in raw material costs.

Table 1: Comparison of Product Prices in the Domestic Unsaturated Polyester Resin Industry Chain (Unit: RMB/ton)

| Product | Region/Type | June 11 | May 6 | Change | % Change | Unit |
| :--- | :--- | :--- | :--- | :--- | :--- | :--- |
| Styrene | East China | 8710 | 10120 | -1410 | -13.93% | RMB/ton |
| Diethylene Glycol | East China | 7300 | 7320 | -20 | -0.27% | RMB/ton |
| Ethylene Glycol | East China | 4738 | 5280 | -542 | -10.27% | RMB/ton |
| Propylene Glycol | East China | 8550 | 9675 | -1125 | -11.63% | RMB/ton |
| Maleic Anhydride | East China | 7835 | 7735 | 100 | 1.29% | RMB/ton |
| Phthalic Anhydride | East China | 7700 | 7750 | -50 | -0.65% | RMB/ton |
| Neopentyl Glycol | East China | 7300 | 9200 | -1900 | -20.65% | RMB/ton |
| Unsaturated Polyester Resin | East China | 9900 | 10500 | -600 | -5.71% | RMB/ton |

Data Source: chempricehub

| Figure 1: 2025-2026 Domestic Unsaturated Polyester Resin Market Price Trend (RMB/ton) |
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| Data Source: chempricehub |

This week, the domestic unsaturated polyester resin market exhibited a pattern of weak, volatile downward movement. The mainstream spot ex-works price in East China closed at 9,900 RMB/ton, down 100 RMB/ton from last week, a decline of 1%. The market decline was primarily suppressed by both weak supply and demand and a collapse on the cost side. Specific performance is as follows: Supply Side Eased Under Pressure: The overall industry operating rate remained low. Factory inventory levels increased slightly from the previous period. Some producers actively lowered ex-works prices by 100-200 RMB/ton to alleviate shipment pressure, while most enterprises temporarily maintained a stable pricing strategy. Spot market trading sentiment was light, with traders actively offering concessions to promote sales, leading to increased room for negotiation on actual transactions. Cost Support was Weak: The raw material market showed a divergent trend: prices of key monomers like styrene briefly rebounded early in the week but weakened again, while phthalic anhydride and propylene glycol prices continued to decline gradually. As upstream price fluctuations failed to form a linked upward trend, the cost accounting space for resin enterprises was passively squeezed. Some small and medium-sized manufacturers are approaching the breakeven point. Demand Remained Persistently Weak: The average operating rate and order volume were low in downstream industries such as FRP (fiberglass reinforced plastic) and artificial stone slabs. End-users generally adopted a low-inventory strategy, purchasing only small quantities based on rigid demand, with a clear aversion to high-priced materials. The market exhibited characteristics of "declining volume and price," with buyers gaining significantly stronger bargaining power in large transactions.

II. Profitability of Unsaturated Polyester Resin Was Restored

| Figure 1: 2025-2026 Domestic Unsaturated Polyester Resin Industry Profit Trend (RMB/ton) | | Figure 2: 2025-2026 Profit Trend of Different Unsaturated Polyester Resin Processes (RMB/ton) |
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| Data Source: chempricehub | | Data Source: chempricehub |

This week, unsaturated polyester resin prices showed a narrow downward trend, with the price fluctuation range contracting further, maintaining an overall weak, volatile pattern. The industry's profit margin narrowed slightly compared to last week. The theoretical cost rose to approximately 9,652 RMB/ton due to a rebound in upstream raw material prices, but actual transaction prices remained slightly above the cost line. The average gross profit was 307 RMB/ton, indicating a degree of resilience. Currently, the supply and demand sides are in a stalemate. Due to phase-specific overcapacity, suppliers' bargaining power is weak. The market maintains a fragile balance, with profit levels in the low-to-mid range.

III. Demand Continues to Shrink

The current sluggishness in the unsaturated polyester resin market primarily stems from the multi-dimensional contraction in end-user demand. Downstream application areas such as FRP, artificial stone, and building materials face the dual dilemma of intensified homogeneous competition and blocked cost transmission. On one hand, prices of end-products are difficult to raise due to fierce market competition. On the other hand, increased price volatility in upstream raw materials like styrene and maleic anhydride has led processing enterprises into an operational quagmire of "high costs, low margins." Against this backdrop, downstream enterprises generally adopt defensive production strategies, with operating rates remaining low for extended periods. Purchasing willingness has shrunk: Although raw material prices have entered a downward channel, end-users, due to poor order visibility, generally adopt a "zero inventory management" model, only placing small replenishment orders based on confirmed orders.

IV. Future Outlook

Cost Side: Based on current information, geopolitical risks in the Middle East continue to ferment. A potential blockade of the Strait of Hormuz could push up crude oil prices. Pure benzene may see a rebound after its decline. The probability of a rebound in the cost side after consecutive drops increases, which could somewhat boost market sentiment. Looking at the styrene supply-demand fundamentals: In the short term, domestic supply is expected to increase slightly. Downstream main sectors still provide support for rigid demand, with stable shipment and delivery. However, spot demand expectations remain persistently poor. Overall, theoretical supply is slightly lower than demand. Based on comprehensive information, the styrene market is expected to show a pattern of initial strength followed by weakness in the next period. The spot price range in Jiangsu is expected to be 8,600-9,000 RMB/ton.

Supply Side: The overall industry operating rate remains stable. Due to the Dragon Boat Festival holiday effect, some enterprises have scheduled unit maintenance or reduced operating rates. This marginal contraction on the supply side has somewhat alleviated the previous market easing pressure. Capacity utilization decreased by approximately 2-3 percentage points month-on-month, improving the market's loose supply situation. On the demand side, it is suppressed by the traditional off-season. Downstream industries like FRP and artificial stone are dragged down by shrinking real estate investment, with purchasing willingness remaining persistently weak. Although resin manufacturers adopt a "price-for-volume" strategy, end-users generally maintain low inventory levels, only placing small replenishment orders based on rigid demand, making it difficult to boost market transaction volumes.

In summary: Short-term prices are likely to consolidate mainly, with an expectation of potential decline, but the fluctuation range may narrow gradually. Q3 Trend: Expected to exhibit a "stepwise bottom-finding" characteristic. As the traditional off-season in June-July deepens, prices may test the year's low point. However, considering the gradually apparent cost support from raw materials like crude oil/styrene, coupled with the stockpiling expectation for the "Golden September and Silver October" season, the market may stabilize gradually by the end of August. Q4 Key Variable: Focus will be on the stimulating effect of accelerated infrastructure investment on FRP demand, as well as improvements in the capital chain of real estate enterprises. If the visibility of end-user orders improves, restocking activities along the industry chain may trigger a phased rebound.