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The domestic soda ash market remains relatively stable. April 16, 2012, 14:16:55. Given the sluggish performance of the real estate market at the end-user level, the artificial price increases in the soda ash market are unlikely to be sustainable. Domestic soda ash producers are maintaining stable prices and focusing on sales. Currently, ex-factory prices have risen by approximately 50–100 yuan per ton compared to last month; however, actual transaction prices have seen only limited increases. Downstream demand remains largely unchanged, and there is significant resistance among buyers to purchasing soda ash at higher prices. As a result, inventories of soda ash among domestic producers have slightly increased. In the short term, although there is active demand for purchasing at lower prices, the overall average transaction price of soda ash is expected to rise only marginally; The inventory pressure and poor sales performance among glass manufacturers have intensified the sales pressure in the heavy soda ash market. Prices have seen only a modest increase compared to previous levels, and currently, the price gap between light and heavy soda ash has narrowed. In the eastern regions of China, the prevailing price for light soda ash is 1,400–1,550 yuan per ton, while that for dense soda ash is 1,550–1,650 yuan per ton; some enterprises offer even lower prices ; In the Central China region, the price can be 100-200 yuan/ton lower ; There are not many low-price orders in other regions; selling prices have seen a slight increase compared to the previous period. In the long run, the soda ash market will still face sales pressure, and there are no positive factors indicating any improvement on the downstream side. It is recommended to make modest purchases at low prices.
This post was last edited by chen-jun-1024 on 2012-4-17 at 18:10. The key issue is that the price of ammonium chloride has gone up; the ammonia-soda industry is currently in a tough spot, while the combined soda industry is doing fine. Unfortunately, I work in the ammonia-soda industry.
This report is sourced from Business Society: http://www.100ppi.com
It is precisely because many manufacturers are engaging in price-cutting competition that ammonia-soda producers are facing difficulties. If they were to unite against external pressures, their situation might improve.