Analysts predict that due to the time required for the market to digest a series of new production capacity, the global chlor-alkali industry will generally remain stable in the next few years and gradually increase.
At present, the United States in April the price of caustic soda contract 360-365 US dollars / ton FOB, spot price of 320-340 US dollars / ton FOB. In the first quarter of the United States, the contract price of chlorine was 310-335 USD/ton del, and the spot price was 300-310 USD/ton FOB. In Europe, the price of caustic soda in April was 320-350 EUR/t del, and the spot price was 280-300 USD/t FOB. Asian spot caustic soda 250-270 US dollars / ton FOB.
According to Eddie Kok, a CMAI company headquartered in Houston, the chlor-alkali industry in the North American market has been fully consolidated and reorganized in the past five years. More small-scale producers have already withdrawn from the market, and large manufacturers have further strengthened their supply and demand balance.
According to analysis by Mary Ellen Brady, a consultant of Harriman Chemsult, in the past few years, the United States and the West Coast have relied heavily on imported caustic soda products because the prices of domestic products in the United States are still higher this year. If the market for vinyl chloride in Europe and Asia cannot be fully recovered, the situation in the United States market may be even more serious.
It is expected that the electrochemical devices in Western Europe will remain flat over the next five years as the market matures and the chlorine market stabilizes. European production capacity will also remain stable. The profitability of electrochemical devices in Northeast Asia will start to increase, having reached the lowest level in 2005. However, since the new production capacity in the region is too concentrated, the real increase in profitability may have to wait until after 2009.
At present, the United States in April the price of caustic soda contract 360-365 US dollars / ton FOB, spot price of 320-340 US dollars / ton FOB. In the first quarter of the United States, the contract price of chlorine was 310-335 USD/ton del, and the spot price was 300-310 USD/ton FOB. In Europe, the price of caustic soda in April was 320-350 EUR/t del, and the spot price was 280-300 USD/t FOB. Asian spot caustic soda 250-270 US dollars / ton FOB.
According to Eddie Kok, a CMAI company headquartered in Houston, the chlor-alkali industry in the North American market has been fully consolidated and reorganized in the past five years. More small-scale producers have already withdrawn from the market, and large manufacturers have further strengthened their supply and demand balance.
According to analysis by Mary Ellen Brady, a consultant of Harriman Chemsult, in the past few years, the United States and the West Coast have relied heavily on imported caustic soda products because the prices of domestic products in the United States are still higher this year. If the market for vinyl chloride in Europe and Asia cannot be fully recovered, the situation in the United States market may be even more serious.
It is expected that the electrochemical devices in Western Europe will remain flat over the next five years as the market matures and the chlorine market stabilizes. European production capacity will also remain stable. The profitability of electrochemical devices in Northeast Asia will start to increase, having reached the lowest level in 2005. However, since the new production capacity in the region is too concentrated, the real increase in profitability may have to wait until after 2009.
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