As the end of the year approaches, the MIBK market price has once again risen, and the circulation of goods on the market is tight. Holders have a strong upward sentiment, and as of today, the average MIBK market price is 13500 yuan/ton.

 1.Market supply and demand situation

Supply side: The maintenance plan for equipment in the Ningbo area will lead to limited production of MIBK, which usually means a decrease in market supply. The two major production enterprises have begun to accumulate inventory due to their anticipation of this situation, further limiting the available sources of goods in the market. The unstable operation of the device may be caused by various factors, including equipment failures, raw material supply issues, or production plan adjustments. These factors may all affect the production and quality of MIBK, thereby affecting market prices.

On the demand side: Downstream demand is mainly for rigid procurement, indicating that the market’s demand for MIBK is relatively stable but lacks growth momentum. This may be due to stable production activities in downstream industries, or MIBK’s substitutes occupying a certain market share. The low enthusiasm for entering the market for buying may be due to the market’s wait-and-see sentiment caused by the expectation of price increases, or downstream companies holding a cautious attitude towards future market trends.

 2.Cost profit analysis

Cost side: The strong performance of the raw material acetone market supports MIBK’s cost side. Acetone, as one of the main raw materials of MIBK, its price fluctuations directly affect the production cost of MIBK. Cost stability is important for MIBK manufacturers as it helps maintain stable profit margins and reduce market risks.

Profit side: The increase in MIBK prices helps to improve the profit level of manufacturers. However, due to the lackluster performance on the demand side, excessively high prices may lead to a decline in sales, thereby offsetting the profit growth brought about by price increases.

 3.Market mentality and expectations

Holder mentality: The strong push for price increases by holders may be due to their expectation that market prices will continue to rise, or their desire to offset potential cost increases by raising prices.

Industry expectation: It is expected that device maintenance next month will lead to a decrease in market supply of goods, which may further push up market prices. At the same time, low industry inventories indicate tight market supply, which also provides support for price increases.

 4.Market Outlook

The expected continued strong operation of the MIBK market may be the result of factors such as tight supply, cost support, and upward sentiment from holders. These factors may be difficult to change in the short term, so the market may maintain a strong pattern. The mainstream negotiated price may range from 13500 to 14500 yuan/ton, based on current market supply and demand conditions, cost and profit situations, and market expectations. However, actual prices may be influenced by various factors, including policy adjustments, unexpected events, etc., so it is necessary to closely monitor market dynamics.