Decanoic acid

n-Decanoic Acid Market Intelligence Report (May 27, 2026)

I. Recent Price Trends
1. Benchmark Price Volatility
- According to Binsu Network data, the benchmark price of n-decanoic acid exhibited narrow-range oscillation from May 21 to May 26, 2026, with an average daily fluctuation of approximately 1.5%–2.3%.
- On May 26, the benchmark price stood at RMB 24,200 per metric ton, representing a 0.8% increase from RMB 24,000/ton on May 21, but a 1.2% decline from RMB 24,500/ton on May 8.

2. Regional Price Differentials
- Hubei Province: Wuhan Hengjiu Chemical’s Malaysian KLK brand (99% purity, 180 kg/drum) was quoted at RMB 33,500/ton—up 1.5% since early April, primarily supported by higher import costs.
- Jiangsu Province: Wuxi Delami International’s Malaysian-brand product was priced at RMB 24,000/ton; domestically produced high-purity grades were quoted at RMB 22,000–23,000/ton, resulting in a regional price spread of ~10%–15%.
- Shandong Province: Domestic supply was quoted at RMB 18,000–20,000/ton, while imported products (e.g., Malaysian KLK) commanded RMB 22,000–24,000/ton—indicating a pronounced price differential.

3. Brand Premium
- The Malaysian KLK brand commands a premium of 30%–50% over domestic products due to its superior purity and stability; however, this premium has recently narrowed to 20%–30%.

II. Market Drivers
1. Supply Side
- Import Dependence: Approximately 60% of China’s n-decanoic acid supply relies on imports, with Malaysian KLK and Indonesian Chunjin brands dominating the market. Fluctuations in Southeast Asian palm kernel oil (PKO) prices have recently impacted import costs.
- Domestic Capacity: Production capacity from domestic producers—including Shandong Qiangsen and Jinan Shijitongda—is gradually ramping up; nevertheless, imported brands still dominate the high-end segment.

2. Demand Side
- Downstream Applications:
Cosmetics: Growing demand for natural preservatives has boosted adoption of n-decanoic acid—valued for its low irritation and broad-spectrum antimicrobial properties—in acne-treatment and sunscreen formulations, enhancing its penetration rate.
Food Preservation: Its bio-based, biodegradable profile complies with EU REACH regulations, driving increased procurement by export-oriented enterprises.
Industrial Lubrication: As a mineral oil substitute in food-grade machinery lubrication, demand is growing at an annual rate of 8%–10%.
- Regional Demand: The East China region (Jiangsu, Shanghai), home to a concentrated cosmetics industry, accounts for over 40% of total demand; Guangdong (South China) exhibits strong demand driven by food processing activities.

3. Cost Structure
- Palm kernel oil prices—impacted by Indonesian export policies—rose 5%–7% year-on-year in Q2 2026, exerting upward pressure on n-decanoic acid production costs.

III. Short-Term Outlook (1–3 Months)
1. Price Trend
- Benchmark Price: Expected to trade within a range of RMB 24,000–25,000/ton, with limited downside potential due to import-cost support.
- Regional Divergence: Imported supplies in Hubei may see modest price increases to RMB 34,000–35,000/ton, reflecting rising logistics costs; domestic supply in Shandong is expected to remain stable at RMB 18,000–20,000/ton.

2. Supply-Demand Dynamics
- Supply: Scheduled maintenance at KLK’s Malaysian plant in June may reduce import volumes by 10%–15%, allowing domestic supply to partially fill the gap.
- Demand: With the summer stockpiling season approaching for the cosmetics industry, demand is projected to rise 5%–8% month-on-month, supporting price stability.

3. Key Risks
- Unexpected recovery in Southeast Asian palm kernel oil output could suppress raw material costs.
- Stricter domestic environmental regulations may accelerate the exit of small- and medium-sized producers, exacerbating regional supply tightness.

IV. Medium-to-Long-Term Outlook (6–12 Months)
1. Capacity Expansion: Shandong Qiangsen Chemical’s Phase II project—a 10,000-ton-per-year facility—is scheduled to commence operations in Q4 2026, potentially raising the domestic share to ~40% and compressing import-brand premiums.
2. Demand Upgrading: Demand for food-grade and pharmaceutical-grade n-decanoic acid is projected to grow at >15% annually, accelerating domestic high-end market penetration.
3. Price Trajectory: The benchmark price may drift downward to RMB 23,000–24,000/ton in H2 2026; however, high-purity grades are expected to retain pricing resilience.

V. Key Data Summary
| Indicator | Value (as of May 27, 2026) | MoM Change | YoY Change |
|---------------------|------------------------|----------|----------|
| Binsu Network Benchmark Price | RMB 24,200/ton | +0.8% | -3.2% |
| Hubei Import Price (KLK) | RMB 33,500/ton | +1.5% | +5.0% |
| Shandong Domestic Price | RMB 18,000–20,000/ton | Stable | -8.0% |
| Palm Kernel Oil Cost Share | 65%–70% | — | +7% |
| Cosmetics Sector Demand Share | 35% | +2% | +10% |