Succinic acid

Succinic Acid Market Dynamics Intelligence Report (Recent Updates)

I. Price Trends
1. Mainstream Quotations: As of June 23, 2026, the domestic mainstream quotation for succinic acid in China stands at RMB 7,000–7,010 per metric ton (industrial grade, purity ≥99%). Specific quotations from selected enterprises are as follows:
- Shandong Yihuo Fine Chemical Co., Ltd.: RMB 7,000/ton (purity ≥99.8%)
- Shandong Zhihengda Import & Export Co., Ltd.: RMB 7,010/ton (purity 99.5%)
- Shandong Hongyang Chemical Co., Ltd.: RMB 7,010/ton (domestically produced)
- Wuhan Hengjiu Chemical Co., Ltd.: RMB 7,000/ton (food-grade)

2. Premium Quotations: Pharmaceutical-grade and food-grade succinic acid command significantly higher prices—ranging from RMB 11,000 to RMB 13,500 per ton—such as:
- Shandong Jinshengrun Chemical Co., Ltd.: RMB 11,000/ton (pharmaceutical grade)
- Shandong Yuanhexingsheng Chemical Trading Co., Ltd.: RMB 13,500/ton (pharmaceutical grade)
- Changzhou Jiaye Chemical Co., Ltd.: RMB 15,000/ton (bio-based premium grade)

3. Price Stability: Over the past three months (April–June 2026), succinic acid prices have exhibited minimal volatility. Industrial-grade prices remained stable within the RMB 7,000–7,010/ton range, while premium-grade pricing varied notably across brands, purity specifications, and regional markets.

II. Supply-Demand Analysis
1. Supply Side:
- Production Capacity Distribution: China is the world’s largest producer of succinic acid, accounting for over 40% of global capacity. Major production bases are concentrated in Shandong, Anhui, and Shanghai provinces, with electrochemical hydrogenation of maleic anhydride remaining the dominant production route; microbial fermentation is still in its nascent stage.
- Operating Rates: Recent supply-side dynamics remain largely unchanged, with stable plant operating rates and no large-scale shutdowns or capacity expansions reported.

2. Demand Side:
- Downstream Applications: Polybutylene succinate (PBS) is the largest end-use segment for succinic acid, representing approximately 60% of total demand; other key applications include coatings, adhesives, and food additives.
- Demand Drivers: Environmental policies promoting biodegradable materials continue to bolster demand. The Ministry of Industry and Information Technology’s (MIIT) “Innovation and Development Implementation Plan for the Fine Chemical Industry (2024–2027)”, issued in 2024, explicitly supports the development of bio-based polymers—providing indirect but meaningful support to the succinic acid market.
- Demand Growth: Total succinic acid demand in 2026 is projected to grow by 3%–5% year-on-year, primarily driven by PBS industry recovery and policy implementation progress.

III. Cost and Profitability Analysis
1. Raw Material Costs:
- Isobutanol: Prices oscillated between RMB 6,800–9,200/ton recently, with stable supply and manageable cost pressure.
- Maleic Anhydride: As the primary raw material for succinic acid, its price fluctuations significantly impact production costs; however, the market has remained stable recently without notable volatility.

2. Production Costs:
- Average production cost for Chinese enterprises ranges from RMB 8,250–9,480/ton—lower than that in the U.S. (RMB 10,450–12,100/ton) and Germany (RMB 11,400–12,900/ton), attributable mainly to advantages in raw material procurement and labor costs.
- Gross margin: Chinese enterprises achieve ~24.8%, whereas German firms—leveraging advanced technology—attain a higher gross margin of ~31.4%.

IV. Policy and Environmental Impact
1. Policy Incentives:
- In 2024, nine ministries including MIIT jointly released the “Innovation and Development Implementation Plan for the Fine Chemical Industry (2024–2027)”, explicitly endorsing the development of bio-based polymers such as succinic acid—delivering long-term positive momentum for the sector.
- Under this policy impetus, the share of bio-based feedstocks in succinic acid production is expected to rise to 15%–20%, emerging as a new strategic direction.

2. Environmental Pressure:
- The EU Carbon Border Adjustment Mechanism (CBAM) and tightening domestic environmental standards are increasing compliance-related costs; environmental compliance expenditure is projected to rise from 6%–9% to 12%–15% of total operating costs.
- Green synthesis technologies—including ionic liquid catalysis and enzymatic catalysis—are accelerating industrial deployment, facilitating low-carbon transformation across the industry.

V. Technological Development Trends
1. Green Technologies:
- Ionic liquid catalysis and enzymatic catalysis are gradually replacing traditional electrochemical methods, reducing energy consumption and environmental pollution.
- Integration of smart manufacturing technologies—including IoT and data analytics platforms—enables real-time monitoring and quality control, enhancing production efficiency.

2. Bio-Based Feedstocks:
- Breakthroughs in microbial fermentation technology for succinic acid production have been achieved, with several enterprises having implemented pilot-scale or initial industrial applications; however, challenges persist in scaling up commercial production.

VI. Market Outlook
1. Short-Term Forecast (1–3 months):
- Balanced supply-demand fundamentals and stable raw material prices will serve as key supporting factors; succinic acid prices are expected to remain steady within RMB 7,000–7,010/ton, with fluctuations unlikely to exceed ±1%.

2. Medium-Term Forecast (6–12 months):
- With further implementation of biodegradable materials policies and downstream industry recovery, demand is anticipated to grow moderately, driving modest price increases—projected at 3%–5%.

3. Long-Term Forecast (1–3 years):
- Technological innovation will become the core driver of industry development. Increased adoption of bio-based feedstocks and widespread application of smart manufacturing technologies will propel the industry toward high-quality, sustainable growth—and gradually elevate the long-term price equilibrium.