Introduction Recently, the domestic isopropanol market has shown a trend of initial stability followed by decline, with narrowing fluctuations. As of the time of writing, the negotiated price in the Jiangsu market is around 7,350–7,400 yuan/ton, down 1.67% from the beginning of the month. Current spot supply is ample, while downstream demand support is insufficient, with procurement mostly limited to small lots for immediate needs. Under the dual pressure of supply and demand, the isopropanol market continues to exhibit a weak consolidation trend.

1. Prices Peaked Then Continued to Correct

Looking at the long-term trend, after a period of low-level consolidation in the second half of 2025, the domestic isopropanol market started to rebound in early 2026, reaching a阶段性 high of 9,800 yuan/ton in mid-April. However, since late April, the supply-demand pattern has reversed, with prices weakening and entering a downward channel with fluctuations. By May, the decline accelerated further. Downstream end-user purchasing sentiment remained persistently sluggish, market trading was subdued, and actual transactions were dominated by small-lot urgent needs, lacking large centralized orders. This resulted in an overall structurally loose state of oversupply.

Although the supply-demand side is under significant pressure, frequent fluctuations in the prices of both raw materials provide strong cost support for isopropanol plants. Industry profit margins have been significantly compressed, and plants have markedly reduced their willingness to sell at low prices. As a result, the decline is limited, price fluctuation amplitude has gradually narrowed, and the market has shifted into a weak consolidation pattern.

2. Ample Supply, Cautious Demand: Supply-Demand Dynamics Weakening

From the perspective of changing supply-demand relationships, the isopropanol market is undergoing a notable shift of supply expansion and demand contraction. On the supply side, although previous cost pressures led some production units to reduce operating rates, the overall industry operating level remains relatively high. Port and main plant spot inventories are ample, keeping market supply relatively loose. On the demand side, downstream purchasing sentiment is the main factor dragging down the market. Downstream plants are cautious in raw material procurement, mostly replenishing based on immediate needs. Overall market trading sentiment is average, and transaction volumes are difficult to boost. The widening supply-demand gap has caused the market pricing logic to shift from cost-driven to demand-led, with the overall supply-demand structure marginally weakening.

3. Both Routes Fall Below Break-Even Point

Although the domestic isopropanol supply-demand balance is generally weak, frequent price fluctuations on the raw material side still provide a clear cost bottom support. Looking at raw material market trends: the acetone market shows limited fundamental changes, with suppliers' quotes fluctuating within a range. End-user plants show average inquiry and procurement activity, and actual transactions are limited. The other raw material, propylene, is experiencing a downward trend, mainly due to limited overall downstream demand recovery and widening divergence in sales among producers, putting pressure on prices. Consequently, the profit space for the isopropanol industry has been continuously compressed. The acetone-based process is mostly in a loss-making state, and profits from the propylene-based process have also narrowed significantly, at times approaching the break-even point. Under the dual squeeze of high costs and low demand, isopropanol plants have significantly reduced their willingness to sell at low prices, with sentiment to support prices heating up. This is one of the main reasons for the recent narrowing of price declines and slowing of fluctuations.

4. Market Trapped in Weak Equilibrium

In summary, the domestic isopropanol market is currently in a game between weak demand and high costs. It is expected that the market will continue its current weak consolidation pattern. The ample supply of spot resources will be hard to change in the short term, while there are currently no clear signs of incremental demand. Before a substantial improvement in supply-demand conditions, isopropanol prices may continue to search for support at the bottom. Downside space is limited by costs, but upward momentum is equally insufficient. Close attention must be paid to changes in domestic end-user demand and the support logic of raw material costs. Additionally, if new production capacity is smoothly brought online, it will further intensify market supply pressure.