tert-Butanol

Recent Market Intelligence Report on tert-Butanol

I. Price Dynamics
1. Benchmark Prices:
- As of July 6, 2026, the Business Network’s benchmark price for tert-butanol stood at RMB 7,758.33 per metric ton, unchanged from the beginning of the month and remaining at a medium-to-high level.
- As of July 7, 2026, the Business Network’s benchmark price for sodium tert-butoxide reached RMB 16,000.00 per metric ton, an increase of 9.09% compared to the beginning of the month.

2. Regional and Purity-Based Price Differentials:
- East China Region:
- Premium-grade tert-butanol in Zibo, Shandong Province: RMB 5,400–5,400 per metric ton.
- Top-grade domestic tert-butanol (99% purity) in Shandong Province: approximately RMB 8,000 per metric ton.
- Domestic tert-butanol (85% purity): RMB 7,000–7,750 per metric ton.
- Domestic tert-butanol (99% purity): mainstream transaction prices ranging from RMB 5,000 to RMB 8,400 per metric ton.
- Jiangsu Province:
- High-purity tert-butanol (99.9%) in Suzhou: quoted at RMB 11,300 per metric ton, primarily used in high-value-added sectors such as semiconductors and advanced electronic materials.
- Zhejiang Province:
- Quoted price: RMB 9,200 per metric ton.

3. Price Volatility:
- In August 2025, the mainstream transaction price for 85% tert-butanol was RMB 4,667 per metric ton, representing a year-on-year decline of 8.76%.
- In May 2025, import volumes surged significantly, with total imports exceeding 7,000 metric tons—exerting notable downward pressure on domestic prices.

II. Supply-Demand Dynamics
1. Supply Situation:
- Domestic Production Capacity:
- Total domestic capacity for 99% tert-butanol remains stable at 82,000 metric tons annually, concentrated primarily among enterprises including Zibo Haizheng Chemical Co., Ltd. and Zibo Chengguang Trading Co., Ltd.
- In Q2 2026, the Phase II project of Sinopec Qilu Branch’s 200,000-ton-per-year isobutylene-based tert-butanol facility is expected to commence operations, adding ~32,000 metric tons/year of effective supply and alleviating current spot shortages in the East China region.
- Import Situation:
- From May to July 2025, tert-butanol imports surged, with cumulative imports surpassing 7,000 metric tons—equivalent to roughly two months’ domestic consumption. The landed cost of imported material was approximately RMB 4,500 per metric ton, exerting significant competitive pressure on the domestic market.

2. Demand Situation:
- Downstream Demand Structure:
- The fine chemical industry constitutes the core demand segment for 99% tert-butanol, accounting for over 60% of total consumption—primarily applied in pharmaceutical intermediate synthesis, premium coating solvents, and pesticide active ingredients & intermediates.
- In pharmaceutical intermediate synthesis, 99% tert-butanol serves both as a solvent and reaction medium, ensuring product purity and high reaction yields.
- In premium coatings, 99% tert-butanol is increasingly adopted as a key alternative to traditional high-VOC solvents due to its low volatility, excellent solvency, and compatibility with other solvents.
- Demand Growth Trend:
- Overall downstream demand for 99% tert-butanol exhibits a 'stable yet moderate' growth pattern, with no imminent prospect of explosive growth in the near term.

III. Related Product Dynamics
1. Sodium tert-Butoxide:
- As of July 6, 2026, market quotations varied significantly: Shandong Qiangsen Chemical Co., Ltd. quoted RMB 15,000 per metric ton; Liaocheng Jinxinda New Materials Co., Ltd. quoted RMB 33,600 per metric ton.

2. MTBE (Methyl Tertiary Butyl Ether):
- In August 2025, the average production cost for high-purity isobutylene via MTBE cracking stood at RMB 8,057 per metric ton, whereas the average cost for producing high-purity isobutylene via dehydration of tert-butanol was approximately RMB 6,517 per metric ton—indicating that the tert-butanol route retains a clear cost advantage.

IV. Analysis, Outlook & Forecast
1. Price Trend:
- Short-term: tert-Butanol prices will continue exhibiting divergence—prices of high-purity grades are expected to remain relatively stable, while low-purity grades may face further downward pressure due to overcapacity and import competition.
- Long-term: With the commissioning of Sinopec Qilu Branch’s new facility, spot shortages in the East China region will ease; however, structural overcapacity across the industry is unlikely to resolve rapidly. Over the next five years, China’s tert-butanol industry is projected to advance toward high-endization and green development. The share of high-purity products is expected to exceed 50%, while surging demand from new energy materials will create substantial incremental opportunities—projected compound annual growth rate (CAGR) exceeding 20%.

2. Supply-Demand Evolution:
- Supply Side: Domestic capacity remains stable; new projects will expand overall supply, potentially leading to reduced import volumes as domestic output increases.
- Demand Side: Steady growth persists in the fine chemical sector, while demand from emerging new energy materials will serve as a key growth catalyst.

3. Market Risks:
- Fluctuations in raw material prices, tightening environmental regulations, and intensifying market competition may impact the tert-butanol market. Enterprises are advised to closely monitor market developments, strengthen R&D and product innovation, and enhance competitiveness.