1. Market Overview
In Q2 2025, China's chloroacetic acid market exhibited a "rise-then-fall" pattern. As of the end of the quarter, the average market price stood at 3,308.84 RMB/ton, up 271.04 RMB/ton or 8.92% from the previous quarter’s average of 3,037.80 RMB/ton.
In early April, operating rates at chloroacetic acid production facilities were relatively low, leading to tight supply. Coupled with increased downstream demand, manufacturers were confident in pushing for higher prices. After prices rose to profitable levels, many producers ramped up output, though the market remained in a supply deficit. Sales focused primarily on fulfilling previous orders.
As prices remained elevated, downstream resistance grew. The May Day holiday brought logistics disruptions, increasing inventory pressure. Market sentiment turned cautious, with fewer new deals being signed, and prices entered a downward trajectory. Although producers initiated maintenance shutdowns to ease pressure, demand from downstream industries weakened during the off-season, resulting in sluggish transactions and continued price concessions.
By late June, major producers in Shandong undertook maintenance, and a handful of downstream buyers initiated restocking. This led to marginal improvement in shipments and cautious upward price attempts. However, most market activity was focused on digesting earlier gains, and prices have temporarily stabilized.
2. Import and Export Analysis
As of May 2025, China imported 108.119 tons of monochloroacetic acid, dichloroacetic acid, or trichloroacetic acid and their salts or esters. Germany was the primary source, accounting for 59.19% of total imports, with Shanghai Province being the major receiving area at 40.80%.
On the export side, China exported 6,153.538 tons of the same product categories. Turkey was the leading destination, accounting for 33.18% of exports. Shandong Province dominated the export origin by volume, contributing 67.94% of total exports.
3. Market Outlook
In Q3 2025, the chloroacetic acid market is expected to show a downward trend. Downstream sectors will remain in seasonal demand lows, weakening purchasing appetite. Meanwhile, new production capacity may come online, adding to supply pressures. On the cost side, upstream products such as acetic acid and liquid chlorine are forecast to weaken, offering little support to chloroacetic acid prices.
As a result, manufacturers may face rising inventory and shrinking margins, likely prompting more aggressive pricing to secure orders. Overall market sentiment is expected to remain cautious, with price concessions necessary to stimulate transaction activity.
