2025 the first half of the chemical industry profit analysis, can you guess which products are the most profitable?

As a key indicator reflecting the prosperity of chemicals, profit is also an important investment basis for the chemical industry, and its fluctuations have attracted much attention. For more than 110 chemicals, covering products under different processes, the average profit margin fluctuations from January to June 2025 were counted, and the following is an analysis of the statistical results from a number of aspects.

Among the 112 chemicals in the statistics, the overall prosperity of China's chemical industry in January-June 2025 is average. Among them, 33 chemicals suffered losses, accounting for 29% of the total statistics; 79 chemicals were in a profitable state, accounting for 71% of the total statistics. This situation is similar to that of 2024, when 32 chemicals lost money, accounting for 29% of the total statistics.

trimellitic anhydride: Among the most profitable chemicals in the first half of 2025, trimellitic anhydride topped the list, with an average profitability of 68.8 per cent. The product started to rise in February 2024 and continued until February 2025, with the highest price reaching 50000 yuan/ton. However, the decline continued from March 2025, and by early July 2025, prices had fallen to pre-rise levels. According to the average price from January to June 2025, trimellitic anhydride is still the most profitable product, but according to the latest price, its profit margin has dropped to 35%.

n-octyl mercaptan: n-octyl mercaptan ranked second with an average profit margin of 68.3 per cent. Its price has always been high, the market demand is good, and the profit margin in the first half of 2025 is 3 percentage points higher than that in 2024.

EVOH:EVOH has an average profit margin of about 60% in the first half of 2025, maintaining a high level of profitability. The price fluctuation of the product is moderate, which provides a large profit margin and has the typical characteristics of new material products.

petroleum-based ethylene glycol: Among the chemicals that suffered large losses in the first half of 2025, petroleum-based ethylene glycol suffered the most serious losses, with a loss rate of 59%. In 2025, the price of ethylene glycol continued to fall, with the lowest price falling below 4400 yuan/ton, down 63% from the all-time high.

Allyl alcohol method BDO: Allyl alcohol method BDO lost 47% in the first half of 2025. This is mainly because the price of allyl alcohol remained basically stable in 2025, while the price of BDO fell by about 8%, resulting in a drop in profits.

Hydrobenzene-based maleic anhydride plant: Hydrobenzene-based maleic anhydride plant lost 55% in the first half of 2025, the third largest loss in statistical products. However, the theoretical loss space has eased compared to 2024. In the first half of 2025, the market price of maleic anhydride fell by 6%, and the current market price of hydrobenzene has exceeded that of maleic anhydride. It is normal for this product to lose money.

acrylic: Acrylic profit margins rose significantly in the first half of 2025. Its average profit margin level in 2024 was only 0.52 per cent, essentially break-even, while the average profit margin level in the first half of 2025 exceeded 11 per cent, up 2181 per cent year-on-year. This was mainly due to the fact that the market price of acrylic acid rose 13% year-on-year in the first half of the year, which became a key factor in profit growth.

Coal-to-ethylene: Coal-to-ethylene also saw a sharp rise in profits in the first half of 2025. The average profit margin level in 2024 was 0.47 per cent, essentially at break-even, and the profit margin level exceeded 10 per cent in the first half of 2025, a significant increase of 2097 per cent. This is mainly because the price of thermal coal has fallen sharply, making costs lower.

Ethylene tetrameric octene: Ethylene tetrameric octene has an average profit margin of about 12% in 2024, but a profit of 16% in the first half of 2025, with a significant increase in profits. This is due to a 7% year-on-year decline in ethylene prices in the first half of 2025.

Figure 1 China's chemical industry profit volatility statistics in the first half of 2025.

for the calculation of chemical profits, the following points need to be explained:

the selling price of all raw materials and products is calculated according to the market price, and the chemical market is the main collection standard.

All raw materials and products are priced including tax.

The mainstream industry formula is used to calculate the cost.

Costs do not include tax costs, financial costs, and administrative expenses.

All profit margin calculations are rough estimates for industry reference only and are not used as investment decisions.