This week (3.14-18), the domestic ethyl acetate continued its decline last week. According to the statistics of business agency, the decline this week was 3.78%, mainly due to the lower cost of acetic acid raw materials, the main factories in Shandong stopped bidding and changed to retail, which affected the market mentality and the weak downstream demand. At the weekend, the price of ethyl acetate was in the range of 7800-8200 yuan / ton.

First of all, from the perspective of cost, domestic acetic acid decreased significantly this week. According to the monitoring of business society, East China acetic acid decreased by 2.40% this week. This week, the domestic acetic acid market was mostly weak. Due to the sharp rise in the price of acetic acid in the first ten days, the overall acceptance of the downstream was not high. Therefore, the prices in Northwest and central China were mostly callback this week; Especially in East China and North China, affected by the epidemic, sales are blocked, but the overall inventory pressure of the factory is small, and the price is relatively resistant to decline; From the perspective of supply and demand, the acetic acid market is still in abundant supply, and the downstream demand maintains rigid demand. The falling price of acetic acid weakened the support of ethyl ester and butyl ester in the downstream.

From the above figure, the price comparison chart of acetic acid and ethyl acetate shows that they basically maintain the same trend, but the decline of acetic acid is more obvious, the price performance is weak, and the curve is close, indicating that the profits of downstream ethyl acetate enterprises are still improving.

In addition, from the perspective of ethyl acetate supply, the operating rate of ethyl acetate was stable this week, and the main large factories in Shandong maintained normal operation. This week, manufacturers generally reduced the ex factory price by about 300 yuan / ton. At present, the factory is still retail, and there is no large volume of transactions. Some manufacturers in South China have reduced their production load. At present, the manufacturer’s inventory pressure is obvious, mainly reducing prices and arranging inventory, but the market expectation has weakened. At present, the supply of ethyl acetate exceeds the demand.

On the demand side, dealers and downstream factories have weak purchase intention this week, mainly with small orders and low-end prices. Affected by the national epidemic situation, the transportation is limited, the freight rate is higher than that in the previous period, and the goods circulation is insufficient, which further limits the demand for ethyl acetate.

In the future, the analysts of ethyl acetate of business society believe that the current cost of ethyl acetate is declining, the supply and demand are weak, and the operating rate of ethyl acetate manufacturers remains stable. However, it does not rule out the reduction of load production due to sluggish transactions and poor profits in the later stage, and the supply pressure may be relieved in the later stage, but considering the weakness of cost, the price is difficult to improve too much.