1、 Price trend

According to the commodity analysis system of Shengyi Society, the price of caustic soda has been consolidating this week. The average market price from the beginning of the week to the end of the week was 654 yuan/ton, a year-on-year decrease of 31.3%. On March 5th, the Business Social Chemical Index was 848 points, up 20 points from yesterday, down 39.43% from the highest point of 1400 points during the cycle (2021-10-23), and up 41.81% from the lowest point of 598 points on April 8th, 2020. (Note: The cycle refers to the period from December 1, 2011 to present)
2、 Market analysis
According to the commodity analysis system of Shengyi Society, the price of caustic soda has been consolidating this week. The price of caustic soda in Shandong region is around 600-680 yuan/ton in the mainstream market of 32% ion-exchange membrane alkali. The price of caustic soda in Zhejiang region is stable, with a mainstream market price of 850-950 yuan/ton in 32% ion-exchange membrane alkali. The price of caustic soda in Inner Mongolia region is stable, with a mainstream market price of 2050-2150 yuan/ton (converted to 100 yuan) in 32% ion-exchange membrane alkali. The operating rate of caustic soda supply has rebounded after the holiday this week, and the inventory reduction of enterprises is not significant. The periodic supply imbalance of downstream alumina has led to price increases, but there is still overall pressure of oversupply. After the market returns to rationality, more caustic soda will be purchased on demand. It is expected that the alumina market will fluctuate in the later stage.
Analysts from Business Society believe that the caustic soda prices have been consolidating this week, and domestic downstream buyers have been purchasing on demand recently, with no substantial improvement in demand. At present, although the overseas situation may be favorable for caustic soda and chemical product prices, given the high supply pressure of caustic soda and the comprehensive supply-demand game, it is expected that caustic soda may continue to maintain a stable operating market in the later stage, depending on downstream market demand.