Since July 19, the DME Market has been dominated by favorable factors, and it rises again within the month. The price of Henan Province rushs to 3,500 RMB/ ton. According to the data monitoring of SunSirs, the average price of DME in Henan market was 3,370.00 RMB/ ton on July 18, and 3,442.50 RMB/ ton on July 21, with an obvious increase of 2.15% in three days.
This week, the price of DME increased one after another, and the increase in the main production areas of Henan was more obvious. Taking Henan Xinlianxin as an example, the external quotation of Henan Xinlianxin DME was 3,340 RMB/ ton on July 18 and 3,460 RMB/ ton on July 22. During the period, it increased 120 RMB/ ton and sprint through the 3,500 RMB/ ton level.
Shandong and Hebei regions were positive by the rise in the main production areas, following the behavior of the main producers. At present, the market of DME is dominated by favorable factors. Firstly, the market supply in Henan Province has been reduced, and some manufacturers have carried out equipment maintenance, which has brought certain benefits to the market. Secondly, in terms of raw materials, the cost of methanol has been rising steadily in the near future. Although the fluctuation range is limited, the firm price has also brought some support to the market. In addition, the LPG civil market has been dominated by the upstream market in the near future, and the enthusiasm of the downstream market is acceptable under the mentality of buying up. The overall shipment of the manufacturers is relatively smooth, the mentality is firm, and the prices continue to rise.
At present, Henan is affected by rainstorm, transportation is limited, and the overall shipment situation of manufacturers is significantly weaker than that in the early stage. However, the low supply in the province has brought some support to the market. Hebei and Shandong have not been affected yet. The market production and sales are balanced, the manufacturer’s mentality is strong, and the current rise in the market price of methanol and civil gas has brought some benefits to the market. It is not likely that the DME market will fall sharply in China in the short term.