Morning Market Insights for the Epoxy Resin Sector

1. Key Focus Points

1. Houthi rebels continue to attack Saudi Arabia, and the instability in the Middle East escalates supply risks, driving up international crude oil prices. The ICE Brent futures contract for December closed at $106.65/barrel, an increase of $1.93/barrel (+1.84% week-on-week).
2. Raw material ECH (epichlorohydrin) prices have risen, strengthening the cost basis for epoxy resin.
3. Demand remains driven by rigid necessities, leading to a temporary stable consolidation in the epoxy resin market.

Core Logic: Raw material market prices have seen a slight uptick, increasing epoxy resin manufacturers' willingness to hold prices firm. Downstream demand continues to follow rigid necessities, resulting in a temporarily stable operation in the epoxy resin market.

2. Price Table

Notes:

1. All products listed in the table are priced in RMB per ton.
2. All RMB prices listed above include tax.
3. The two price points represent snapshot prices from the two preceding business days prior to this week.
4. Changes reflect the period-over-period variation.

Data Source: Chempricehub Information

3. Market Outlook

The raw material ECH market has experienced a slight upward trend, while the epoxy resin industry maintains robust operations. Demand continues to be supported by rigid necessities, keeping market prices temporarily stable amid the interplay between costs and demand. It is expected that raw materials will maintain high-level trends, potentially boosting the willingness of the epoxy resin market to rise. With buyers following rigid demand, market prices are projected to run steadily with a slightly strong bias.