In the China benzene market, supply is expected to increase going forward. Until October, maintenance and production cuts took place while troubles occurred one after another at facilities. But some new facilities started up recently. From November onwards, facilities that were undergoing maintenance are restarting gradually. Operation rates increased to about 84% or a similar level to September.

But some facilities are scheduled to enter maintenance in November and production is unlikely to increase sharply. Production of benzene in China from January to October was at 15.39 mil mt.

On the demand side, buying interest for benzene is receding since many derivative facilities are undergoing maintenance. In addition, crude prices and overseas benzene prices are softening recently. Domestic benzene prices also lack upward momentum.