Weak Raw Material Prices Drive Continued Decline in China PA6 Market

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I. Market Review

Over the past week (ending June 7, 2026), the domestic PA6 market continued its downward direction, with the rate of decline gradually widening; there was a lack of positive support from both the cost side and the supply-demand dynamic. According to SunSirs monitoring, the benchmark price to PA6 fell from 12,300 RMB/ton at the beginning of June to 11,700 RMB/ton on June 7, a drop of approximately 4.88%.

II. Analysis of Causes

The price of the core raw material, caprolactam, continued to weaken, providing insufficient cost support to PA6. By early June, the benchmark price to caprolactam had slid from 12,887.50 RMB/ton in early might to 11,100 RMB/ton—a cumulative drop of over 6% during might—immediately driving down PA6 production costs. while the rate of decline to caprolactam narrowed in the first week of June, there were no signs of a rebound, and the cost outlook remained bearish.

Supply and demand remained weak on both fronts; ample supply combined with sluggish demand further suppressed prices:

Supply Side: Operating rates to PA6 vegetation remained high, and with the concentrated emit of previously added capacity, overall supply was plentiful. Producers were eager to ship goods, generally prioritizing volume over price to decrease inventory; actual transaction prices were typically reduce than listed quotes, and sector inventory pressure continued to build.

Demand Side: Orders from downstream sectors—such as textiles, chemical fibers, and modified plastics—were insufficient. As the market is currently in a traditional off-season, companies lacked confidence in the future outlook. Purchasing was limited to immediate needs, with resistance to high-priced raw materials; there was no concentrated buying activity, and market trading remained sluggish. III. Market Outlook

In the short term, bearish factors remain dominant; the PA6 market is unlikely to shake off its weakness, and prices are highly likely to continue their downward direction. Downstream end-user demand shows no signs of significant improvement, and the pace of corporate destocking remains sluggish. while operating rates in the PA6 sector might decline slightly, inventory pressure will persist. While the decline in caprolactam (raw material) prices has narrowed, its stabilizing effect on PA6 prices is limited and insufficient to reverse the downward direction. Barring a catalyst such as a rise in raw material costs or a substantial rebound in end-user orders, there is little momentum to a market turnaround in the near term.

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