1、 Price trend

According to monitoring data from Business Society, the price of caustic soda first fell and then rose in November, with an overall upward trend. The average market price of light soda ash at the beginning of the month was 2460 yuan/ton, and the average market price at the end of the month was around 2580 yuan/ton, with a price increase of 4.88%, a decrease of 2.2% compared to the same period last year. On November 29th, the commodity index of light soda ash was 125.13, an increase of 2.05 points from yesterday, a decrease of 33.83% from the highest point of 189.10 points in the cycle (2021-11-07), and an increase of 98.15% from the lowest point of 63.15 points on November 18th, 2015. (Note: The cycle refers to the period from September 1st, 2011 to present)

2、 Market analysis

According to the commodity analysis system of Shengyishe, the price of soda ash has been running strong this month. Currently, pure alkali in East China is operating steadily, with a mainstream market price of around 2500-2800 yuan/ton for light pure alkali. The operation of caustic soda in North China is temporarily stable, and the mainstream market price for light caustic soda is around 2550-2700 yuan/ton. Currently, the inventory of soda ash manufacturers is around 380000 tons.

In terms of demand: According to the commodity analysis system of Business Society, the spot price of glass is weak this month. At the beginning of the month, the average price of glass was 23.09 yuan/square meter, and at the end of the month, the average price was 21.67 yuan/square meter. During the month, the price decreased by 6.15%. From a regional perspective, the trading situation in the glass spot market in Shahe, North China is average, with a slight decrease in market prices, which is beneficial for enterprises to reduce inventory. Overall, inventory has decreased. The market trading situation in the East China region is relatively light, with downstream demand for goods and a slight decrease in enterprise inventory. The overall production and sales in the central region of China are still good, and the decrease in enterprise prices has stimulated downstream purchases, resulting in a rapid decline in factory inventory.

Business Society analysts believe that according to the Business Society’s product analysis system, the price of soda ash has remained strong this month. Recently, the production of soda ash has remained at around 84%, with a short-term reduction in production. Downstream purchases are mainly based on demand, and there is a supply-demand game between upstream and downstream. Overall, it is expected that the price of soda ash will continue to remain strong in the later stage, depending on downstream market demand.