1,3-Dichloro-2-propanol

1,3-Dichloropropanol Market Intelligence Report (July 2026)

I. Price Dynamics
1. Recent Quotations
- Shandong Hongyang Chemical Co., Ltd.: Quoted RMB 35,000 per metric ton (99.5% purity, VAT-inclusive, delivered in Shandong Province) continuously from June 30 to July 3, 2026; quotation valid for 3 days.
- Hubei Kewode Chemical Co., Ltd.: Quoted a price range of RMB 80–160 per kilogram (99% purity, minimum order quantity: 1 kg) for ion-exchange resin–related 1,3-dichloropropanol products on June 25, 2026.

2. Historical Price Trends
- Industry average ex-factory price was RMB 32,000/ton in 2023, rising to RMB 34,000/ton in 2024 (+6.3% year-on-year), driven by fluctuations in propylene oxide feedstock prices and robust downstream demand.
- The 2025 average price is projected to remain within the RMB 34,000–35,000/ton range, with an estimated capacity utilization rate of 85.7%.

II. Supply-Demand Analysis
1. Supply Side
- Capacity Distribution: East China accounts for 52% of total national capacity (Jiangsu Province alone contributes 28%), followed by North China (18%) and South China (15%), indicating high regional concentration.
- Market Structure: In 2024, the CR5 (combined market share of the top five producers) reached 63%, led by Wanhua Chemical (19%), Shandong Luwei Chemical (15%), and Zhejiang Juhua Co., Ltd. (12%).
- Capacity Expansion: Total national capacity is projected to increase to 560,000 tons in 2025, with actual output reaching 480,000 tons; new capacity additions are concentrated in East China.

2. Demand Side
- Downstream Applications:
Pharmaceuticals, agrochemicals, coatings, and electronic chemicals (e.g., synthesis of epichlorohydrin).
Food-contact materials: Due to restrictions on chloropropanol residues stipulated in GB 4806.8–2022, demand from paper chemicals (e.g., PAE wet-strength resins) faces regulatory constraints; however, this segment remains a stable long-term demand source.
- Market Size: Reached RMB 15 billion in 2024 (+8.5% year-on-year); projected to grow to RMB 16.2 billion in 2025 (+8.0% year-on-year).

3. Import-Export Dynamics
- Exports: Export volume totaled 46,000 tons in 2024 (+8.8% year-on-year), primarily destined for Southeast Asia (Vietnam, Indonesia) and South America (Brazil); 2025 export volume is forecast at 35,000 tons (+9.4% year-on-year).
- Imports: Imported volume stood at 6,000 tons in 2024 (?4.8% year-on-year), mainly sourced from Japan and South Korea (for high-end electronic materials); 2025 import volume is expected to stabilize at 8,000 tons.

III. Policy and Regulatory Impact
1. Environmental Regulations
- The 2024 'Guiding Opinions on Green Transformation of the Chemical Industry' mandates VOCs emission control retrofits to be completed by 2025, resulting in a 14.7% year-on-year increase in enterprises’ environmental compliance investment—imposing short-term cost pressure but enhancing long-term industry sustainability.

2. Industrial Support Policies
- 1,3-Dichloropropanol was included in the 2024 'National Key Supported New Materials Catalogue', enabling preferential tax policies and R&D subsidies; consequently, enterprise R&D investment rose 11.3% year-on-year, further raising technological barriers to entry.

3. Food Safety Standards
- GB 4806.8–2022 restricts chloropropanol water-extractable content in food-contact paper, compelling paper chemical manufacturers to tighten residue controls—causing short-term demand volatility but fostering long-term growth in compliant product demand.

IV. Analysis and Outlook
1. Short-Term (1–3 Months)
- Price Trend: Shandong Hongyang Chemical’s quotation remains steady at RMB 35,000/ton; prices are expected to maintain high-level volatility in July, influenced by propylene oxide feedstock price fluctuations and incremental capacity releases by leading producers.
- Supply-Demand Balance: Strong downstream demand from pharmaceuticals and electronic chemicals, coupled with growing export orders, supports pricing; however, new capacity in East China may alleviate localized supply tightness.

2. Medium-Term (6–12 Months)
- Capacity Release: Incremental capacity scheduled for 2025 will gradually come online, sustaining industry capacity utilization above 85%; prices face mild downward pressure but are anticipated to fluctuate within a narrow band of ?3% to +2%.
- Policy Impact: Tightening environmental and food safety standards will elevate compliance costs, potentially accelerating the exit of small- and medium-sized enterprises and further consolidating market share among industry leaders.

3. Long-Term (1–3 Years)
- Market Scale: Expansion into emerging application areas (e.g., new-energy materials) and sustained export growth will underpin industry expansion, with a projected CAGR of 6–7% from 2025 to 2027.
- Technological Trends: Green production technologies (e.g., low-VOCs emission processes) and advanced chloropropanol residue control technologies will become critical competitive advantages for enterprises.