This week, the domestic market price of industrial-grade acetonitrile continued to rise significantly. The mainstream ex-works price in the East China market has reached or exceeded 13,500 yuan/ton, an increase of nearly 2,000 yuan/ton compared to the same period last week. Since prices began their upward trend in mid-August, the cumulative increase has reached 5,700 yuan/ton, representing a surge of 73%. Furthermore, current acetonitrile prices have hit their highest level since October 2022. Given that terminal demand from the peptide sector remains robustly growing, acetonitrile prices are expected to climb further.
While acetonitrile prices have surged, production profits for synthetic methods have also gradually expanded, reaching their highest levels in three years with gross margins exceeding 2,000 yuan per ton. During this period, the price of acetic acid, a key raw material for synthesis, has consistently risen and is currently at a relatively high level of over 4,000 yuan/ton. The rising cost of acetic acid provided strong cost-side support during the initial phase of the acetonitrile price increase. However, recent gains in acetonitrile prices have completely decoupled from cost factors, with concentrated expansion in demand being the primary driver behind the sustained price rally.
Following the expiration of overseas patents for active pharmaceutical ingredients (APIs) such as semaglutide in March 2026, major domestic pharmaceutical companies rapidly launched production lines. Manufacturers including WuXi AppTec have also increased their procurement volumes of acetonitrile. In the second half of the year, domestic terminal consumption of peptides gradually scaled up, further stimulating API production volumes. Meanwhile, the procurement gap for APIs like tirzepatide among overseas generic drug manufacturers and Contract Development and Manufacturing Organizations (CDMOs) is primarily being filled by supplies from China and other regions. Consequently, despite the cancellation of export tax rebates for acetonitrile in 2026, export order volumes have maintained growth.
Signs of expanding demand for acetonitrile from peptide APIs were evident early in this price hike. Most synthetic method enterprises co-produce preparative-grade acetonitrile, leading to a noticeable reduction in external sales of industrial-grade acetonitrile. Simultaneously, inventories at some large-scale plants using by-product recovery methods remained persistently low. Supply in the East China market was particularly tight, while markets in North China and South China began to show tightening conditions starting in late August. Additionally, periodic losses incurred by acrylonitrile producers restricted operating rates at by-product recovery facilities, further boosting acetonitrile prices.
Looking ahead, the acetonitrile market is expected to maintain its upward momentum. On the supply side, availability remains limited, with by-product recovery enterprises potentially cutting production again due to losses in acrylonitrile. On the demand side, consumption remains steady, driven by continuous growth in the peptide sector. Although persistently high prices have caused some hesitation and wait-and-see attitudes among buyers in traditional pesticide and pharmaceutical sectors, acetonitrile accounts for a relatively small proportion of total production costs for most downstream users. While price fluctuations may affect short-term procurement sentiment, they do not directly or significantly impact downstream profitability or production operations. Furthermore, Northern Huajin’s butadiene project has re-initiated bidding for 810 tons of industrial-grade acetonitrile, which will further support the market's upward trend.
Comments
0