I. Market Overview

In August (August 1, 2026 – August 28, 2026), domestic chloroacetic acid (CAS No. 79-11-8) market prices exhibited a distinct trend of initial declines followed by subsequent increases. Overall, weighed down by the off-season sluggishness in early-to-mid August, the monthly average price moved downward compared to the previous month. As of August 28, the monthly average price for domestic chloroacetic acid stood at 2,772.82 RMB/ton, down by 51.37 RMB/ton (a decrease of 1.82%) compared to July's average of 2,824.19 RMB/ton.

• Early August (Off-Season Weakness): During early August, chloroacetic acid and its main downstream sectors remained in a traditional seasonal off-season. Downstream demand follow-up was limited, with buyers purchasing strictly on a hand-to-mouth basis for small orders, leading to quiet market trading activity. To relieve inventory pressure amidst ample market supply, manufacturers offered price concessions to facilitate shipments.

• Mid-to-Late August (Market Reversal & Recovery): Heading into mid-to-late August, terminal downstream industries gradually resumed production, and procurement demand rebounded. Combined with concentrated plant maintenance in major producing regions during late August, the market quickly shifted to a tight supply-demand structure. Producers raised ex-factory offers accordingly, driving transaction centers higher.

Key Market Drivers:

1. Supply Side (Regional Tightening): Facilities in major producing areas including Shandong, Henan, and Jiangsu underwent scheduled maintenance during the month, reducing regional commercial output and tightening overall domestic supply.

2. Demand Side (Increasing Operating Rates): Downstream buyers prioritized consuming existing raw material inventories in early August, showing low purchasing interest. From mid-to-late August, operating rates in key downstream sectors such as agrochemicals gradually rose, driving order recovery and improving buying volumes. Furthermore, the shutdown of some chloroacetic acid units supporting glycine production in Hebei boosted external procurement demand for liquid chloroacetic acid in that region.

3. Cost Side (Upstream Support): Upstream acetic acid prices moved upward, strengthening cost support. Since most chloroacetic acid producers operate integrated chlor-alkali facilities providing self-sufficient liquid chlorine, rising acetic acid costs directly supported the upward price trend for chloroacetic acid.

II. Main Producing Region Transaction Prices

By the end of August, actual transaction prices for flake chloroacetic acid across major domestic markets settled within the following ranges:

• Hebei Region: Mainstream transaction prices ranged from 2,700 to 3,000 RMB/ton.

• Shandong Region: Mainstream transaction prices ranged from 2,700 to 3,100 RMB/ton.

• Henan Region: Mainstream transaction prices ranged from 2,700 to 3,100 RMB/ton.

• Shanxi Region: Mainstream transaction prices ranged from 2,700 to 2,900 RMB/ton.

III. Market Outlook & Forecast

Looking ahead to next month, the transaction center for the domestic chloroacetic acid market is expected to remain firm and fluctuate at elevated levels.

• Supply Forecast: As units under maintenance resume operations, producers are raising operating loads, which will increase market availability and restore adequate supply levels.

• Demand Forecast: With the peak season approaching for autumn fertilizer preparation and agrochemical applications, operating rates in downstream sectors (agrochemicals and pharmaceutical intermediates) are expected to stay high, supporting steady procurement interest and maintaining favorable market trading activity.

• Price Range Forecast: Supported by baseline costs and peak-season demand, domestic chloroacetic acid transaction prices next month are expected to fluctuate within the range of 2,700 to 3,700 RMB/ton. Market participants are advised to monitor raw material acetic acid price trends and downstream agrochemical buying momentum.