The epoxy resin market experienced weak fluctuations after a broad decline in October. In the first half of the month, dual raw materials, especially bisphenol A, saw a broad decline, and the cost support of epoxy resin collapsed significantly. After the National Day holiday, downstream markets were mainly wait-and-see, and the market buying atmosphere was poor. Affected by negative costs and demand, resin prices continued to decline. In mid month, raw material prices stabilized, downstream concentrated replenishment on dips, and the resin market stopped falling and stabilized; In the second half of the month, downstream resin consumption is mainly based on inventory, and market participants are mostly bearish on the future market, mainly focusing on purchasing in demand. Although the raw material market has rebounded, there is a large gap in orders from resin factories at the end of the month, and actual negotiated prices have still declined.

Raw material situation:

① BPA: In October, the production of 240000 tons of BPA in Jiangsu Ruiheng Phase II gradually increased, while the production lines of Luxi Chemical and Changchun Chemical have been in a state of shutdown. Other factories such as Lihuayi and Yanhua Polycarbon have also experienced short-term shutdowns, with parking losses greater than new production capacity, but the market supply is still sufficient. During the National Day holiday, crude oil prices plummeted significantly, while prices of pure benzene and phenolic ketones suffered a sharp decline. BPA prices fell broadly to losses in the first half of the month, and the low decline from the 10000 yuan mark in the second half of the month finally eased.

② ECH:The overall ECH market in October was initially suppressed and then increased. Before the National Day holiday, the restart of equipment such as Haixing and Binhua brought about significant market supply growth, putting pressure on ECH manufacturers and causing prices to fall; With prices falling to a low pressure of around 8000 yuan/ton, factories are reducing their load, manufacturers are becoming less willing to lower their prices, and downstream resin factories are buying on dips, resulting in a slight rebound in ECH prices.

Equipment situation: Fujian Huanyang has been shut down for 10 days, while other factories such as Hongchang, Wuzhong Chemical, Deyuan, Hebang, and Dalian Qihua have been shut down for different periods of time. Large liquid resin factories are mostly operating at full capacity. The overall operating rate of liquid resin is over 70%, while the overall operating rate of solid resin is around 50%.

Downstream situation: The demand for epoxy resin in October has significantly decreased compared to September, with low levels concentrated in the market for purchase in the middle and lower reaches, and most of the time, it is mainly purchased in demand.