Hexachloroethane

Hexachloroethane: Recent Commodity Market Intelligence Report

I. Price Dynamics
1. Recent Quotations
- As of May 26, 2026, the Base Price Index published by Business Network (Shengyishe) indicates price stability for hexachloroethane; however, no specific value is disclosed.
- As of April 24, 2026, Hubei Chengfeng Chemical Co., Ltd. quoted RMB 10/kg (25 kg/bag, 99% purity), with final pricing subject to telephone negotiation.
- As of August 29, 2025, Hubei Qibaijiu Chemical Co., Ltd. quoted RMB 16,500/ton (99% assay), with a fluctuation range of RMB 14,200–16,500/ton; the average price in July 2025 was RMB 15,733.33/ton.

2. Price Trend
- From March 2025 to February 2026, hexachloroethane prices exhibited a volatile downward trend: the average price declined to RMB 14,200/ton in December 2025, rebounded to RMB 15,925/ton in January 2026, and retreated to RMB 14,775/ton in February 2026.
- In May 2026, no significant price fluctuations have occurred; however, regional supply-demand dynamics warrant close monitoring.

II. Market Supply and Demand
1. Supply Situation
- Key global producers include Scottish Chemical Industries, Changshu Zhenfu New Materials, Nantong Donggang Chemical, and Teja Metallurgicals and Chemicals. The top three global manufacturers collectively hold approximately 60% of market share.
- China hosts a highly concentrated production capacity; enterprises such as Hubei Chengfeng Chemical possess large-scale manufacturing capabilities. However, quotations from certain suppliers remain subject to telephone negotiation, reflecting substantial room for price negotiation in the market.

2. Demand Structure
- Metal & Alloy Production: Hexachloroethane serves as a degassing agent and covering agent; demand remains stable but is influenced by steel industry capacity regulation policies.
- Smoke Screen Production: Demand is relatively inelastic—driven by both military and civil applications—but accounts for only a small proportion of total consumption.
- Agriculture and Other Applications: Used as a polymer additive or pesticide intermediate; growth potential in these segments is limited.

3. Regional Markets
- India is the world’s largest consumer market (accounting for ~55% of global demand), followed by China (~40%). Demand disparities across regions contribute to localized price differentiation.
- Hubei Province in China serves as a major supply hub; logistics costs and regional price differentials significantly influence local quotations.

III. Industry Developments
1. Policy Impacts
- On May 26, 2026, China’s Ministry of Commerce and four other departments jointly revised the “Export Control List of Chemical Precursors for Specific Countries/Regions”, potentially affecting hexachloroethane export trade. However, specific provisions remain undisclosed.
- Stricter environmental regulations are pressuring cost-sensitive small- and medium-sized enterprises (SMEs) to exit the market, likely further increasing industry concentration.

2. Capacity Changes
- Global capacity expansion has slowed. The Chinese market size reached RMB 26 million in 2025 and is projected to grow to RMB 102 million by 2032, representing a compound annual growth rate (CAGR) of 2.47%. Growth will be primarily driven by high-end application segments.

3. Unforeseen Events
- In May 2026, mine shutdowns and rectification at Congolese (DRC) mining sites, along with maintenance at Shandong chlor-alkali plants, have not directly disrupted the hexachloroethane supply chain. Nevertheless, risks associated with chlorine price volatility—potentially transmitted through upstream raw materials—deserve vigilance.

IV. Analysis and Assessment
1. Short-Term Price Outlook
- Prices in May 2026 remain broadly stable. However, the notable quotation discrepancy observed in Hubei Province—RMB 10/kg versus RMB 16,500/ton—highlights tiered pricing structures within the market, necessitating attention to shifts in enterprise bargaining power.

2. Medium- to Long-Term Trends
- Demand Side: Metal smelting dominates overall demand. Agricultural and emerging application segments show limited growth, resulting in aggregate demand growth lagging behind GDP expansion.
- Supply Side: Rising industry concentration enables leading enterprises to lower costs via technological upgrades; smaller manufacturers face heightened risk of market exit, narrowing future price volatility ranges.
- Cost Drivers: Raw material prices—including chlorine and ethane—are susceptible to energy market fluctuations. However, hexachloroethane constitutes a minor cost component for downstream users, thereby dampening pass-through effects.

3. Risk Factors
- Volatility in Indian demand, intensifying environmental regulatory enforcement in China, and escalating international trade frictions may trigger short-term price anomalies.

V. Forecast
1. Price Range
- During Q3 2026, mainstream hexachloroethane quotations in China are expected to range between RMB 14,000–16,000/ton. Prices in Hubei Province—benefiting from supply concentration—may remain slightly below the national average.

2. Market Structure Evolution
- The share of high-purity, high-end products is projected to increase, supporting improved industry gross margins. Nonetheless, overall market size growth is expected to decelerate.

3. Regional Opportunities
- Given India’s heavy import dependence, Chinese manufacturers can offset domestic demand softness by expanding export shares. Southeast Asian markets offer latent potential, although logistical bottlenecks must first be overcome.