Melamine is an important raw material for making melamine powder. Today, Huafu Factory will continue to share with you the latest melamine market trend.

During Sept.16-Sept.22, the domestic melamine market was under pressure and ran down. This week, the national average ex-factory price of normal pressure products was 7,984 yuan/ton ($1,123/ton), down 28 yuan/ton or 0.35% from last week, compared with an increase of 7.47% last week。

This week, the average operating load rate of Chinese melamine enterprises was 53.90%, down 2.65 percentage points from last week. Some of the shutdown units have plans to resume production. Huafu Chemicals believes that the start-up load rate of domestic melamine enterprises may pick up slightly next week.

Statistics on the operating load rate of Chinese melamine enterprises (20220916-0922)

Market trend analysis and forecast

Short-term raw material urea prices remain at a relatively high level, which can still provide a certain cost support for melamine.

From the perspective of supply and demand, the pressure on the supply side is not large, while the overall performance of the downstream demand side is still tepid, but there is a demand for pre-holiday stocking, and the price drop in the short term is relatively limited.

Huafu Chemicals believes that in a short period of time, the company will actively accept orders, and the quotation may be loosened.