According to the monitoring of the Commodity Market Analysis System of the Business Society, the domestic price of anhydrous hydrofluoric acid continued to decline in June. As of the end of the month, the market price of hydrofluoric acid was 9657.14 yuan/ton, a decrease of 0.29% compared to the initial price of 9685.71 yuan/ton, and a year-on-year decrease of 16.68%.

On the supply side: In June, the price trend of hydrofluoric acid declined, with the mainstream price negotiated by various regions in China ranging from 9400 to 9900 yuan/ton. Recently, some units have been shut down for maintenance, and the spot supply of hydrofluoric acid is still sufficient. The weak order situation of manufacturers for hydrofluoric acid has affected the market trend of hydrofluoric acid, with raw material fluorite prices at a high level and downstream refrigerant demand being poor. The dual impact has led to serious losses for hydrofluoric acid production enterprises, Some companies have chosen to park due to losses, with anhydrous hydrofluoric acid operating at around 60%. Some companies have increased inventory, which has affected the decline of the hydrofluoric acid market trend.

Raw material side: The price trend of domestic fluorite decreased slightly in June. As of the end of the month, the average price of domestic fluorite was 3117.5 yuan/ton, which is 0.83% lower than the daily price of 3143.75 yuan/ton. The operating rate of fluorite enterprises has slightly increased, and spot supply has increased. However, there has been little change in the mining of upstream mines, and outdated mines will continue to be phased out. In terms of adding new mines, mineral investigation work remains challenging. In addition, mining enterprises are facing increasingly strict safety and environmental requirements, and fluorite mines are not operating properly. The requirements of environmental protection and emergency management departments are becoming stricter, making it more difficult to start mining. Affected by the tight supply of raw materials, the fluorite market price is supported, and the prices of raw materials are high, putting pressure on hydrofluoric acid enterprises.

On the demand side: The market for downstream refrigerant products at the terminal has declined, and the operating rate of the refrigerant industry has remained low. Recently, there has been sufficient supply of refrigerants, which has led to a decline in the price trend of domestic refrigerant R22. The load of refrigerant R22 manufacturers is not high, the performance of the domestic trade market is weak, inventory digestion is the main focus, and procurement demand has not yet followed up. The domestic R134a manufacturers are operating at low loads, and the price trend of R134a is declining. Currently, on-demand procurement is the main trend, while downstream enterprises are not operating high. Traders have a strong wait-and-see attitude, and the demand for consumer orders has not yet warmed up. Market confidence is insufficient. Currently, the market quotation for refrigerant R134a is mostly in the range of 24000-25000 yuan/ton, and some enterprises have not resumed production. The demand orders are still small, and the market is stagnant and declining. Overall, the refrigerant market is not good, The operating rate is less than 30%, coupled with a decline in the export market, resulting in weak domestic and external demand. The refrigerant market has slightly declined, with scarce procurement of upstream raw materials, and the hydrofluoric acid market has been dragged down by demand.

Future Market Forecast: The upstream raw material fluorite market has fallen from a high level, coupled with the downstream refrigerant industry’s sluggish construction, weak procurement of hydrofluoric acid, high inventory of hydrofluoric acid, resonance between high raw material demand and poor demand, and serious losses for hydrofluoric acid production enterprises. Chen Ling, a hydrofluoric acid analyst at Business Society, believes that the hydrofluoric acid market is unlikely to improve in the short term, and the market may slightly decline.