SunSirs: Cost Pressures Increased, and Anhydrous Hydrogen Fluoride Prices Rose

Price Trend

Cost-side pressures intensified this week, leading to another rise in domestic prices for anhydrous hydrogen fluoride. According to data from the SunSirs analysis system, as of April 9, the benchmark price for hydrofluoric acid stood at 15,100 RMB/ton—an increase of 2.95% compared to the beginning of the month.

Market analysis

Raw Materials: The upstream supply of sulfur—a key feedstock for sulfuric acid—remained persistently tight, driving up sulfuric acid production costs. Compounded by low inventory levels and ongoing maintenance shutdowns at various facilities, market supply has tightened further, causing sulfuric acid prices to heat up once again. For hydrofluoric acid producers, the potential margin for price increases has been almost entirely absorbed by the rising cost of sulfuric acid; furthermore, facing difficulties in securing raw materials, some manufacturers are now anticipating a reduction in production loads in the near future. Regarding fluorite, mining operations across Zhejiang Province have been suspended for safety inspections following a mining accident in the region. This disruption has rippled into neighboring Jiangxi Province, pushing back the resumption of work until after mid-April. Market participants are displaying a strong sentiment to hold firm on prices and are reluctant to sell, leading to tentative upward adjustments in price quotes. Consequently, prices for newly signed spot orders of hydrofluoric acid have been forced upward by 500–800 RMB/ton. According to data from the SunSirs analysis system, as of April 9, the SunSirs benchmark price for fluorite stood at 3,575.00 RMB/ton—a 0.53% increase compared to the beginning of the month (3,556.25 RMB/ton). Meanwhile, the SunSirs benchmark price for sulfuric acid reached 2,000.00 RMB/ton—a substantial 26.58% increase compared to the beginning of the month (1,580.00 RMB/ton).

Demand Side: The downstream refrigerant sector was gradually entering its traditional peak production season. Demand for certain refrigerant grades was robust, creating a degree of rigid demand for hydrofluoric acid. However, buyers remained cautious and showed limited tolerance for high-priced raw materials; purchasing activity was primarily focused on replenishing inventory on an as-needed basis, resulting in generally moderate market transaction volumes.

Market Outlook:

In the short term (1–2 weeks), the market landscape—characterized by tight supply, cost-side support, and inelastic demand—remains unchanged. N-Butanol prices are highly likely to maintain a volatile yet upward-trending trajectory, with prices in the Shandong region potentially continuing to test the 9,000 RMB/ton threshold. Key factors to monitor include the resumption of plant operations, fluctuations in raw material prices, and the purchasing pace of downstream sectors. From a medium-to-long-term perspective (late April through May), should new production capacity gradually come online and supply pressures ease, prices may undergo a temporary correction. However, given that the second quarter is traditionally a peak season for demand—coupled with factors such as environmental production restrictions—the price floor remains well-supported, resulting in an overall market pattern of "high-level volatility."

SunSirs has been continuously tracking price data for over 200 commodities for nearly 20 years, please contact support@sunsirs.com for subscription.