Mid-August Update: Asian Acrylic Acid Prices Perpetuate a Downtrend

Recent pricing analysis shows Acrylic Acid prices have sustained a downtrend during the third week of August 2022, owing to prolonged dullness in demand from the domestic market amidst ample product availability in the market. The Asian Acrylic Acid market has been witnessing a slow demand from the domestic downstream sectors, which has put pressure on Acrylic Acid prices.

The data shows that Acrylic Acid price has declined in China by around 3.3% during the third week of August 2022, owing to the country's vanishing demand and pessimistic market scenarios. As per the market sources, the Chinese Acrylic Acid market has witnessed a steep decline in demand since the country's pandemic-related uncertainties have risen. However, despite recovery from the pandemic, economic activities remained lower than expected, which led the demand for several commodities to decline in the domestic market.

A similar price trend has been observed in India for the time being, as the prices kept tracing a downtrend in the country, owing to cheaper imports and modest demand from the domestic market. As per the data, in India's third week of this month, prices declined around 1.5%. Although the festive season started in the country, prices remained dull on the back of cheaper imports.

As per the analysis, Acrylic Acid prices will likely remain dull throughout August in India and China, as the current market scenarios hint toward a continuous downtrend. In China, the zero covid policy will be the major concern for the country's economic growth, as it has vanished all the market optimism from the country. Additionally, the Indian market may witness a demand rebound in the coming months, under the optimism of rising festivities in the country.