According to the Commodity Market Analysis System of Shengyi Society, the price of formic acid has been stable recently. As of November 24th, the benchmark price of 85% formic acid for industrial grade in China was 2910 yuan/ton, which was the same as the same period last week (November 17th), with a month on month increase of 3.93% and a year-on-year increase of 2.11%.

Supply side: temporarily stable operation, maintenance plan becomes a latent variable
The overall supply side remains stable, and the operating rate of production enterprises remains at a normal level. During this period, the market focus was on the dynamics of major factories in Liaocheng: after suspending quotations on November 16th, the factory resumed normal shipments on November 17th, and prices remained at the same level as last weekend. Although the shipment volume was average, it did not have a substantial impact on market supply.
The maintenance plan for the Liaocheng large factory, originally scheduled for mid month, has been postponed to late this month, and market reports indicate that another large factory has a maintenance plan in place later this month. If the maintenance plans of multiple large factories in the latter half of the year are successfully implemented, it may trigger a temporary supply contraction, which will become a key factor affecting the subsequent market supply pattern.
On the demand side: rigid demand dominates, and there is a significant lack of incremental power
The demand side shows a flat performance, with an overall characteristic of “rigid demand as the main factor and limited increment”. With the recent end of the procurement cycle, the purchasing enthusiasm of end users has declined, and they generally adopt an on-demand procurement strategy, resulting in a relatively light market trading atmosphere.
The formic acid data analyst from Shengyi Society believes that there are no significant positive or negative news releases from both the supply and demand sides of the market, and prices may continue to operate steadily. In the medium to long term, it is important to pay close attention to the implementation of the maintenance plan for large factories by the end of this month. If there is a temporary contraction in supply, it may disrupt the current balance, and specific market changes still need to be monitored.