Diethylene glycol monobutyl ether

Diethylene Glycol Butyl Ether Market Intelligence Report (July 29, 2026)

I. Price Trends
1. Benchmark Price
- According to Shengyishe Data, the benchmark price of diethylene glycol butyl ether on July 28 was RMB 10,180 per ton, down 0.59% from the beginning-of-month level (RMB 10,240/ton), and situated at the annual median level (median: RMB 10,320/ton; intrayear range: RMB 9,160–11,480/ton).
- The average price over the past three months stood at RMB 10,697.8/ton, with a peak of RMB 11,480/ton (recorded in July) and a trough of RMB 10,080/ton.

2. Regional & Brand Price Differentials
- Shandong Province: Mainstream quotations ranged between RMB 9,000–14,000/ton, including:
Shandong Junfeng New Materials (99.6% premium grade, Denachem): RMB 9,300/ton;
Shandong Fushengyong Trading Co., Ltd. (99.9%, Tianyin): RMB 13,000/ton;
Shandong Shuojia Chemical (99.5%, Tianyin): RMB 10,100/ton.
- Jiangsu Province: Nanjing Runsheng Petrochemical (99.9%, Dow): RMB 11,500/ton; Suzhou Senfeida Chemical (99%, domestic): RMB 11,800/ton.
- Zhejiang Province: Ait Supply Chain (99.9%, domestic): RMB 11,000/ton; Shanghai Guoke Electronics (imported): RMB 13,200/ton.
- Guangdong Province: Guangzhou Tianyue Chemical (99%, Dow): RMB 10,200/ton.

3. Purity Premium
- High-purity (99.9%) products command premiums of RMB 500–3,000/ton over 99.5% grade products. Imported brands (e.g., Dow) exhibit significant premiums—RMB 1,000–2,000/ton higher than domestically produced equivalents of the same purity.

II. Market Drivers
1. Cost Structure
- Fluctuations in upstream ethylene oxide prices exert limited cost support for diethylene glycol butyl ether. Recently, the ethylene oxide market has remained weakly stable, exerting no substantial cost pressure on downstream products.

2. Supply Side
- Domestic production capacity is highly concentrated, with leading enterprises—including Jiangsu Denachem and Shandong Shuojia Chemical—dominating market supply, ensuring stable output.
- Imported supplies (e.g., Dow, Sasol) face elevated pricing due to international logistics costs and tariff impacts; however, brand recognition sustains their market share.

3. Demand Side
- Downstream demand is segmented across coatings, inks, and electronics/semiconductor sectors:
High-end coating applications demonstrate robust demand for high-purity products, supporting firm pricing for 99.9% grade;
Mid-to-low-tier markets are constrained by tightening environmental regulations, prompting some manufacturers to shift toward lower-cost alternatives, thereby suppressing overall demand growth.
- July is a traditional off-season; downstream procurement remains largely driven by essential restocking, resulting in subdued trading activity.

4. Policy & Industry Trends
- Escalating environmental regulations drive green transformation across the industry, boosting demand for low-VOC (volatile organic compound) products. Enterprises must obtain international certifications (e.g., REACH) to expand market access.
- Rapid growth in the electronics and semiconductor sector increases demand for electronic-grade, ultra-high-purity diethylene glycol butyl ether, reinforcing premium pricing in the high-end segment.

III. Price Analytics Framework
1. Formula-Based Pricing Mechanism
- The Shengyishe benchmark price adopts a “Base Price + Adjustment Factor (K) + Premium/Discount (C)” model, where:
K reflects financing costs associated with payment terms (e.g., letter-of-credit settlement periods);
C incorporates logistics expenses (e.g., inter-regional freight differentials), brand premiums (imported vs. domestic), and purity differentials (e.g., 99.5% vs. 99.9%).
- For example, logistics costs from Shandong to East China range approximately RMB 200–300/ton; imported brand premiums average ~RMB 1,500/ton.

2. Price Differential Logic
- Regional Differentials: Freight from Shandong to Jiangsu averages ~RMB 200/ton, contributing to Jiangsu’s generally higher prices—typically RMB 100–300/ton above Shandong levels.
- Brand Differentials: Dow-branded products carry 15–20% premiums over domestic equivalents of identical purity, attributable to brand equity and quality consistency.
- Purity Differentials: 99.9% products command 5–10% premiums over 99.5% grade, reflecting heightened sensitivity to purity in high-value applications.

IV. Outlook
1. Short-Term (1–2 weeks)
- Price Range: RMB 10,000–10,500/ton.
- Rationale: Weak seasonal demand, stable supply, and predominantly steady pricing—with potential minor local declines due to inventory pressure.

2. Medium-Term (1–3 months)
- Price Range: RMB 10,200–10,800/ton.
- Rationale:
Approaching the traditional peak season (“Golden September & Silver October”) may gradually stimulate downstream restocking;
Tightening environmental policies boost demand for low-VOC formulations, potentially widening high-end product premiums;
Import pricing faces uncertainty amid volatile international freight rates.

3. Long-Term (6–12 months)
- Price Center: RMB 10,500–11,000/ton.
- Rationale:
Sustained growth in electronics/semiconductor end-use supports high-end pricing;
Rising industry concentration enhances pricing power among top-tier producers;
Stricter environmental enforcement accelerates exit of outdated capacity, optimizing supply-demand balance.

V. Risk Alerts
1. Demand Shortfall: Persistent weakness in downstream coating and ink sectors could push prices below RMB 10,000/ton.
2. Raw Material Volatility: A sharp rise in ethylene oxide or other feedstock prices may transmit upward cost pressure.
3. Regulatory Risks: Further tightening of environmental compliance may trigger temporary production halts or shutdowns among non-compliant facilities, causing short-term supply constraints.
4. International Market Disruptions: Import pricing volatility—driven by global freight rates, tariff adjustments, or trade policy shifts—may amplify domestic market fluctuations.