Introduction to China’s Soda Ash Market (2024.3.25~2024.3.29)

This week, the domestic soda ash market fluctuated, and transactions at the beginning of the month were tepid. According to Longzhong Information data monitoring, the overall operating rate during the week was 89.41%, an increase of 0.19% from the previous month. The output of soda ash was 734,000 tons, an increase of 0.22%. The fluctuations in the equipment were small, and the operation was relatively stable. The inventory of soda ash manufacturers during the week was 833,600 tons, an increase of 9,700 tons, or 1.18%, from Monday. The price at the end of the month has not been determined, market transactions are weak, and inventories have increased in a narrow range. Some companies have high inventories, but most companies have low inventories. It is understood that social inventory is basically stable during the week, with small fluctuations; during the week, 35% of the soda ash inventory of downstream glass companies has been on the market for 17+ days, an increase of 1+ days, and on-site + pending for 22+ days, an increase of 2+ days; 45 % of the samples are 16+ days old, with an increase of 1+ days, and on the market + pending for 20+ days, with an increase of 1+ days; 50% of the samples are 15+ days old, with an increase of 1+ days, on the market + pending for 20+ days, with an increase of 1 + days, imports have arrived at the port, individual companies' inventories have increased, and most companies have little fluctuation.On the supply side, the load of maintenance and other individual enterprises in Kunshan, Jiangsu is abnormal. It is expected that the overall operation and output will decline next week. It is estimated that 88+% of the operation will be started next week and the output will be 720,000 tons. Towards the end of the month, corporate prices are announced one after another, and during the new order negotiation and order receiving stages, shipments slow down. Entering April, companies such as Red Sifang and Junhua have maintenance plans, and individual companies have maintenance expectations, but the specific impact is uncertain. On the demand side, downstream demand is stable, procurement is mainly based on demand, and overall consumption is normal. Near the end of the month, there is a replenishment plan in the downstream. Some companies have imported alkali arriving at the port, and the inventory has increased. Due to the impact of soda ash maintenance in the future, some companies have increased their inventories appropriately. During the week, the daily melting capacity of float method was 176,500 tons, which was stable month-on-month, and that of photovoltaic was 100,600 tons, which was stable month-on-month. Photovoltaic production lines are expected to be launched in the near future, with 3-4 lines expected to have a production capacity of 4,000-5,000 tons. To sum up, in the short term, the trend of soda ash will fluctuate and the supply and demand game will continue.  (Longzhong Information)