Chemical Feedstock Broad Decline Persists — TDI Maintenance Wave Approaches, Supply-Demand Tug-of-War Intensifies
Market Daily Report — June 3, 2026
On June 2, China's chemical feedstock market continued its downward trend. Of 109 products monitored by SCI99, only 12.84% rose in the previous cycle while 71.56% declined. Crude oil's rebound failed to lift chemical sentiment, with supply and demand both remaining weak.
TDI: Supply Contraction Signals Strengthen, Decline Nearing End
TDI maintained rapid descent. Domestic TDI80/20 in East/South/North China at 14,500-14,600 RMB/ton (-350). However, clear supply contraction signals: Shanghai Plant 1 shut May 20, Hanwha shutting in early June, Xinjiang and Fujian plants on partial runs. Some first-tier traders paused price cuts, shifting to stable offers. Expected decline narrows to ~100 RMB/ton today.
Rigid Polyether Foam: Cost Support Awaiting Repair, Bottom-Near
North China fell to 8,200-9,200 RMB/ton, East China to 8,300-9,300 RMB/ton. Downstream staged restocking showed slight increase. Propylene oxide stabilization signal appeared — 40% expect slight rebound, 50% see stabilization.
Bisphenol A: Dual Pressure from Cost and Demand, 70% Bearish
BPA: East China 8,600-8,700 RMB/ton, North China 8,500-8,600 RMB/ton, Huangshan 8,600-8,700 RMB/ton. Ample supply, slow destocking, 70% expect further ~100 RMB/ton decline. Raw material phenol showing upward pressure adds cost squeeze.
Industry Data: Petrochemical Prosperity Index 98.13 (Slightly Hot)
According to the China Petroleum and Chemical Industry Federation and SCI99, the May 2026 petrochemical prosperity index stands at 98.13, in the "slightly hot" range. Zibo chemical product price index at 831.71 (+0.43). Macro prosperity data contrasts with weakening micro market conditions.
Outlook
Chemical feedstock broadly in "post-decline bottom-searching" phase. TDI maintenance wave will gradually materialize supply tightening. Rigid polyether cost stabilization signals emerging. By mid-June, some chemicals may see post-decline rebound opportunities. Watch maintenance schedules and downstream restocking pace.
