This week (August 28–September 3), the average weekly profit of China's phenol/acetone samples was -790 yuan/ton, down 73 yuan/ton from the previous period.
According to Chempricehub estimates, as of September 3, the phenol/acetone profit for Sinopec East China stood at -1,110 yuan/ton, down 636 yuan/ton from August 27. This week, Sinopec cumulatively raised its pure benzene listed price by 650 yuan/ton to 8,900 yuan/ton, while its East China propylene price was cumulatively raised by 750 yuan/ton to 9,700 yuan/ton, bringing the phenol/acetone cost level to 14,360 yuan/ton. Sinopec East China raised its phenol list price by 200 yuan/ton to 8,600 yuan/ton and its acetone list price by 200 yuan/ton to 7,500 yuan/ton, thus widening the theoretical loss range for phenol/acetone producers.
Data source: Chempricehub
Table: Weekly profit data comparison for China phenol/acetone samples
| Process | Sept 3 | Aug 27 | Change | Change (%) |
|---|---|---|---|---|
| Cumene (isopropylbenzene) | -1,110 | -474 | -636 | -134.18% |
Data source: Chempricehub
East China pure benzene spot prices rose strongly this week. Next week, geopolitical disruptions are expected to leave room for international crude oil prices to move upward, providing firm support on the cost side. On the supply side, although domestic units continue to resume operations and import arrivals have increased, the release of market circulating supply remains limited amid frequent crude oil price fluctuations. Downstream weighted profits are low, end-product sales are sluggish, and downstream players are mainly consuming feedstock inventories while remaining cautious in purchasing. East China pure benzene spot market is expected to stay firm next week, with the negotiation focus shifting upward and prices expected to reference 8,600–9,100 yuan/ton.
This week, the domestic propylene market remained broadly firm at high levels. International crude oil prices and geopolitical conditions remain the core external uncertainties. If the Middle East risk premium recedes, crude oil's cost support for propylene will weaken accordingly. Meanwhile, supply is expected to increase in the later period, and the tight supply–demand situation may see marginal easing. Domestic propylene is likely to trend weaker next week, with Shandong prices fluctuating around 8,800–9,300 yuan/ton. Attention should be paid to unit restart progress, downstream operating-rate flexibility, and the evolution of the geopolitical situation.
In the short term, the two raw material prices are expected to fluctuate on the strong side. Supported by costs, the phenol market may see positive expectations, though sluggish end-user buying interest continues to cap gains, and the price inversion between phenol and pure benzene is unlikely to see significant near-term relief. For acetone, vessel cargoes will arrive at ports successively next week, gradually improving the previously tight supply pattern. Given the unclear direction of international oil prices and persistent cost-side disturbances, and after the market's recent round of gains, downstream players' willingness to chase further increases has weakened, leaving insufficient momentum for additional upward pushes; the short-term market is likely to run in a high-level range. Based on a comprehensive analysis of costs, phenol/acetone supply–demand fundamentals, and price trends, the loss-making situation of phenol/acetone producers is not expected to improve notably next week.
Sample description: On the data release date, Chempricehub monitors theoretical costs and profits based on the phenol/acetone and feedstock listed prices of Sinopec East China.
Term explanation — Cost: Production cost is the total of direct expenses, direct labor, and indirect manufacturing costs incurred in producing a certain type and quantity of product. Phenol/acetone production cost refers to the theoretical production cost derived from the two major feedstocks (pure benzene and propylene).
Profit: The phenol/acetone production profit calculated on the basis of phenol/acetone petrochemical enterprise prices, i.e., the profit obtained by subtracting total cost and additional expenses (excluding financial expenses) from Sinopec East China listed prices.
Statistical scope: The statistical cycle runs from Friday of the previous week to Thursday of the current week, together with profit data comparison between the current Thursday and the previous Thursday. Chempricehub's phenol/acetone product profit is first-hand data, released every Thursday from 15:00 to 17:00 on working days.
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