Recent Market Intelligence Report on Maleic Anhydride

I. Price Dynamics
1. Significant Regional Price Disparities
- Wuhan City, Hubei Province: The ex-factory price for industrial-grade maleic anhydride offered by Hubei Qibajiu Chemical Co., Ltd. stands at RMB 4,500 per ton—currently at a low level, possibly attributable to local overcapacity or weak demand.
- Jinan City, Shandong Province: Prices for maleic anhydride vary considerably across brands and specifications. Qixiang Tengda’s 99.6% purity product is priced at RMB 4,850 per ton; Kede’s 99.6% purity product at RMB 4,600 per ton; and Qixiang’s higher-purity (99.8%) grade at RMB 5,000 per ton. Premium pricing by industry leaders such as Qixiang Tengda likely reflects brand premium and/or superior quality.
- Guangzhou City, Guangdong Province: Guangzhou Tianyue Chemical Co., Ltd. quotes RMB 7,600 per ton for Qixiang’s 99.8% purity maleic anhydride—significantly higher than other regions, potentially due to brand premium, logistics costs, or regional supply-demand tightness.
- Suzhou City, Jiangsu Province: Suzhou Senfeida Chemical Co., Ltd. offers domestically produced industrial-grade maleic anhydride at an ex-factory price of RMB 6,650 per ton—positioned at a mid-level range.

2. Price Volatility
- Recent maleic anhydride prices have exhibited volatility. For example, in the East China region (e.g., Shandong Province), premium-grade maleic anhydride (≥99.5% succinic anhydride content) has seen alternating increases and decreases. Its three-month average price is RMB 7,300 per ton, with a three-month low of RMB 5,250 and a three-month high of RMB 8,850—indicating that current pricing remains near the upper end of this range.

II. Supply-Demand Relationship
1. Supply Side
- Domestic maleic anhydride production capacity is gradually expanding, yet geographic distribution remains uneven. Provinces such as Shandong host concentrated capacity, where leading enterprises—including Qixiang Tengda—are enhancing supply capabilities via capacity expansion and technological upgrades. However, generic-grade products still face risks of overcapacity.
- Succinic anhydride—the primary raw material for maleic anhydride—exhibits supply-demand imbalance: rapid new-capacity additions coupled with slower-than-expected downstream demand growth have intensified competition among succinic anhydride producers, exacerbating losses and constraining upward price pressure. This situation may impact both the production cost and overall market supply of maleic anhydride.

2. Demand Side
- Unsaturated polyester resin (UPR) remains the largest downstream application for maleic anhydride, accounting for approximately 60% of total consumption. Meanwhile, emerging applications are growing rapidly—e.g., demand from the 1,4-butanediol (BDO) synthesis route is surging, projected to exceed 300,000 tons annually by 2028, with a compound annual growth rate (CAGR) above 15%.
- Demand from pharmaceutical and agrochemical intermediates remains steadily positive, with an expected CAGR of 3–5%.
- China’s “Dual Carbon” goals (carbon peak and carbon neutrality) are driving sectoral transformation toward low-carbon, green development, thereby increasing demand for eco-friendly maleic anhydride products.

III. Industry Developments and Policy Impacts
1. Technological Upgrading and Substitution
- The n-butane oxidation process is increasingly replacing the traditional benzene-based method for maleic anhydride production—reducing manufacturing costs and environmental impact while enhancing industry competitiveness.
- Commercialization of bio-based maleic anhydride is accelerating, potentially unlocking new market opportunities.

2. Policy Support
- Government policies actively support enterprises adopting clean production technologies and eco-friendly materials to bolster sustainable industry development. For instance, tightening environmental regulations are stimulating demand for environmentally friendly water treatment agents such as hydrolyzed poly(maleic acid) (HPMA).

IV. Analysis and Assessment
1. Price Trends
- Maleic anhydride prices are likely to remain volatile in the near term but trend toward overall stability. Prices for generic-grade products may decline modestly due to overcapacity, whereas high-purity and high-performance grades may appreciate owing to robust demand growth.
- Regional price disparities are expected to persist, influenced by logistics costs, brand premiums, and localized supply-demand dynamics.

2. Supply-Demand Balance
- On the supply side, gradual capacity ramp-up continues, though uneven regional distribution may lead to overcapacity pressures in certain areas.
- On the demand side, rapid growth in emerging applications is offsetting relatively stable demand in traditional sectors, suggesting a move toward overall supply-demand equilibrium.

3. Industry Competitiveness
- Leading enterprises are strengthening market supply capacity through capacity expansion and technology upgrades; however, competition remains fierce for generic-grade products.
- Eco-friendly and high-performance products are poised to become key competitive differentiators, necessitating increased R&D investment and technological innovation by enterprises.

V. Outlook
1. Market Size
- Driven by green, low-carbon transformation and expanding demand from emerging applications, the Chinese maleic anhydride market is projected to grow steadily. By 2028, domestic market size is expected to reach approximately 2.1 million tons, with a CAGR of 3.5–4.0%.

2. Technological Development
- Green, low-carbon production processes will accelerate adoption and become the industry standard.
- Industrial-scale production of bio-based maleic anhydride is advancing rapidly and may achieve commercial deployment within the next 5–10 years.

3. International Trade
- Amid evolving global trade patterns, China’s maleic anhydride export volume is expected to expand further, reinforcing its international competitiveness.