Allen Zhang (CCAON- China) +8622 2742 8231 -Tianjin allenzhang@ccaon.

com Nancy Hao (CCAON- China) +8610 64335599-635 -Beijing nancyhao@ccaon.com

Lily wang (CCAON-China) +8610 64335599-637 lilywang@ccaon.com Olivia Wang (CCAON- China) +8610 6433 5599 -Beijing olivia@ccaon.com

ISSUE NUMBER: 001 8 August, 2008

CAUSTIC SODA(Page 1-13)

Raw Material Domestic market Export market Downstream market Forecast Production news

SODA ASH (Page 14)

Domestic market Soda ash price monitoring Export Date

HYDROCHLORIC ACID (Page 18) CHLORINE (page 18)

Published by:

NOTE: Information contained in this report is obtained from sources believed to be reliable, however no responsibility or liability will be accepted by CCAON and commercial decision claimed to have been based on the content of the newsletter. Reproduction of any part of this work by any process whatever without written permission of CCAON is strictly forbidden.
Page 1

CAUSTIC SODA
Raw Material: Industry salt market
There was a hike in price across the domestic salt market in July due to the decreased output of solar salt which was caused by the rainy weather, the increased price and tight supply of coal, and the increased transportation charge. However, downstream demand was still strong, so price was at a high level last month.
Prevailing prices Region Shandong Tianjin Solar salt Jiangsu Hebei Liaoning Lake salt Inner Mongolia Qinghai Sichuan Well salt Hunan & Hubei Yunnan Jiangsu RMB/mt ex-work ex-work FD ex-work ex-work ex-work spot FD ex-work ex-work spot USD/mt 220-420 220-270 460-550 250-350 240-380 220-240 170-190 370 350-360 370 360-400 Price climbed strongly due to the tight supply and the price hike of coal. Ex-work price was almost stable due to the transport difficulty and the increased freight charge Price hiked last month due to the declined output, which was influenced by the rainy weather

Market movement

Domestic market
DOMESTIC PRICES OF LIQUID CAUSTIC SODA Prevailing prices (RMB/ mt) Region D-30% Four weeks ago M-32% Four weeks ago Price declined especially in Jiangsu, which was caused by the resistance from traders and the weak downstream demand. Price was consolidating at the high level then declined to the original price in the beginning of month, and conclusions were insipid due to the low operating rate of downstream producers. Producers declined their operating rate due to the Olympic influence. However, price did not rise evidently due to the weak Market movement

E.China

680-880

730-880

750-900

750-900

S.China

800-840

760-880

850-910

790-910

N.China

630-640

580-610

700-720

660-710

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downstream demand. There was some price increase here. However, buying interest from downstream producers became weak in the end of month, and it was difficult to conclude at the high level. Producers declined their operating rate due to the balance of caustic soda and chlorine, and price of caustic soda rose in July due to the smooth conclusion for flake caustic soda market. Price continued to climb due to the decreased output and strong demand from downstream producers. Price was almost stable although there was some price decline due to the influence from Eastern market.

NW.China

490-540

450-500

540-640

515-550

NE.China

730-800

700-750

780-860

750-830

SW.China

620-680

580-630

670-780

630-680

C.China

590-630

540-600

680-760

680-710

1000 900 Price(RMB/mt) 800 700 600 500 1-Jan 15-Jan 29-Jan

Domestic prices of 30% caustic soda

Date 3-Jun 17-Jun 1-Jul 15-Jul 11-Mar 25-Mar 12-Feb 26-Feb 22-Apr 20-May 6-May 29-Jul 8-Apr

East China

South China

(Average prices from 1 Jan to 31 July)

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Domestic prices of 32% caustic soda

1000 900 800 700 600 500 3-Jan 17-Jan 31-Jan 5-Jun 19-Jun 3-Jul 17-Jul 13-Mar 27-Mar 10-Apr 14-Feb 28-Feb 24-Apr 8-May 22-May 31-Jul Date

Price(RMB/mt)

East China

South China

(Average prices from 1 Jan to 31 July)

DOMESTIC PRICES OF FLAKE CAUSTIC SODA

Region The first week E.China The second week The third week The last week The first week S.China The second week The third week The last week N.China The month Prevailing prices (RMB/ mt) 96% 3400-3500 3500-3700 3500-3700 3500-3700 3600-3700 3800-4000 3800-4000 3700-3800 2650-3400 99% 3450-3700 3700-4000 3700-4000 3650-3800 3800-4000 4000-4100 3900-4100 3900-4000 3200-3700 The market was insipid due to the Olympic Games influence. Price of flake caustic soda rose in July due to the declined output and smooth conclusions. Price climbed due to the decreased output and strong demand from downstream producers. The high level of price declined last month due to the low operating rate of downstream producers and influence of eastern market. Market movement

Price climbed then declined in the end of month due to the weak demand from downstream producers.

NW.China

The month

2450-3000

2600-3300

SW.China

The month

2650-3400

3200-3600

Export market
Export of caustic soda tended to be insipid as the coming of Olympic Games. Liquid caustic producers had arranged the export time in the last ten-day of August in order to ensure the smooth transportation. Also, there were some producers arranged the maintenance from the beginning of August, which would avoid the influence from Olympic Games on production and offtakes. Most solid caustic soda producers maintained low operating rates in order to keep the balance of caustic soda and chlorine. In addition, caustic soda production and transportation was influenced by the Olympic Games, so both the output and export volume had declined in July, and producers sold most of the cargoes in domestic market with export volume limited. Export nomination of 99% flake caustic soda was USD 570/mt FOB and USD 560/mt FOB in
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Tianjin port and Shanghai port respectively, and export volume had decreased in July. Producers in Southwest China maintained a low operating rate and caustic soda output was limited, so export was also limited although the demand interest was strong from Southwest Asian buyers. Nomination of 99% flake caustic soda was USD 430/mt FOB in Allah Frontier and conclusion volume was limited. EXPORT CAUSTIC SODA Main Harbor Class 98% Tianjin 99% 96% 48%-50% 98% Shanghai 99% 96% 48%-50% Northwest Frontier Trade Southwest South East Small ports South Northeast North 99% 96% 98% 99% 72% 48%-50% 48%-50% 48%-50% 98.5% FOB FOB FOB FOB FOB FOB FOB FOB DAF DAF DAF DAF DAF FOB FOB FOB FOB Low range 540 540 490 490 580 500 420 430 430 600 RMB 1400 450 Top range 570 570 560 560 600 520 490 500 500 600 RMB 1400 520 Sources from Sinkiang Henan, Tianjin, Ningxia Inner Mongolia, Tianjin Tianjin Anhui Anhui, Shanghai Shanghai Shanghai Sinkiang Guizhou, Sichuan Guizhou, Sichuan Guizhou, Sichuan Jiangsu Guangdong Liaoning Shandong

CHINA LIQUID CAUSTIC SODA EXPORTS IN JUNE 2008 To Australia Philippine Source from Shanghai Jiangsu Shanghai Tianjin S. Korea Shanghai Shandong Canada Ghana United States Shandong Jiangsu Tianjin Liaoning Jiangsu Customs Shanghai Nanjing Shanghai Tianjin Shanghai Qingdao Qingdao Nanjing Tianjin Shenyang Nanjing
Page 5

Volume Tons 15,398 2,212 5,111 1,396 2,509 6,102 9,136 9,338 130 1,600 18,020

Average prices USD/MT 297 384 368 392 425 192 265 387 402 220 348

Shandong South Africa Malaysia Taiwan Tanzania Guatemala Hongkong Singapore India Total Tianjin Tianjin Shanghai Tianjin Jiangsu Guangdong Jiangsu Tianjin Jiangsu

Qingdao Tianjin Tianjin Shanghai Tianjin Nanjing Jiulong Guangzhou Shanghai Tianjin Nanjing

18,015 50 1,977 3,020 275 2,047 968 4,442 7,461 109,206

230 370 390 348 345 384 155 354 381

Note: * Marked information seems to be deviant All data sourced from CIQ

Liquid soda export to key regions year 2008

180,000 160,000 140,000 120,000 Volume 100,000 80,000 60,000 40,000 20,000 0 Australia United States Canada India Taiwan Jun May Apr Mar Feb Jan

Page 6

The volume and average prices of China's Export Liquid Caustic soda 2008
Volume USD/MT

160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0

Jun July Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 07 07 07 07 07 07 07 08 08 08 08 08 08

350 300 250 200 150 100 50 0

Volume

Average prices

Note: Average prices of Export Liquid caustic soda are calculated from General Trade.

CHINA SOLID CAUSTIC SODA EXPORTS June 08 Region America Country Argentina Brazil Panama Puerto Rico The Commonwealth of Dominica Dominica Ecuador Canada United States Mexico Colombia Costarica Cuba Honduras Peru Nicaragua Volume Tons 865.3 25 75 45.8 200 209.9 270.6 23 922 200 200 50 Average prices USD/MT 396 407 423 303 392 480 455 380 412 295 418 400 Jan-Dec 2007 Volume Tons 72 9,332 115 22 95 25 894 2,032 12,496 146 2,546 50 1,794 84 6,549 177 Average prices USD/MT 340 336 367 382 372 390 333 380 373 348 338 360 436 260 338 348

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El Salvador Guatemala Trinidad and Tobago Venezuela Jamaica Chile Total Africa Algeria Egypt Ethiopia Angola Benin Burkina Faso Togo Congo Eritrea Gambia Djibouti Guinea Ghana Zimbabwe Cameroon Cote d'ivoire Kenya Gabon Libyan Liberia Madagascar Malawi Mali Mauritius Mauritania Democratic Republic of Congo Morocco Mozambique South Africa Niger Nigeria Namibia Senegal

94 439.7 3,620 45.6 254 100 63 156 19.5 125 375 119 235 297.9 24.8 502 637.7 271.9
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356 372 404 413 445 398 300 457 392 420 475 296 448 486 388 388 450

250 161 91 273 159 2,786 40,149 88 3,002 2,259 1,097 405 25 1,607 706 44 475 1,734 123 4,591 259 467 778 6,655 22 136 25 1,023 65 100 2,018 300 483 137 10,017 7,178 41 35,469 3,959 4,123

360 367 384 349 346 340 418 341 359 346 360 335 365 357 307 338 332 369 361 350 394 393 383 410 336 385 379 366 300 337 354 392 335 338 367 369 332 344 317

Suriname Somalia Tanzania Tunisia Zambia Chad Total Europe Danmark Deutschland Russia France Czech Republic Norway Portugal Ukraine Spain Sweden Greece Italy Total Oceania Australia Papua New Guinea New Zealand Tonga New Caledonia Total Asia UAE Oman Macao Pakistan N. Korea Philippine Kazakhstan S. Korea Kyrgyzstan Cambodia Kuwait Malaysia Mongolia Bangladesh Myanmar

616 335 32 4,209 2,381 60 22 2,463 30.8 30.8 20 6 475 344.8 1,051 675 1,623.5 108.3 457.6 199 2,276.5 Page 9

259 384 497 338 403 635 659 449 438 392 384 421 355 421 366 392 232 356 -

528 25 15,881 286 286 16 106,433 140 200 14,352 44 20 22 311 22 488 40 156 88 15,883 1,674 396 186 50 48 2,354 729 389 130 2,375 2,016 5,879 9,966 4,291 1,462 232 10 2,858 1,061 80,901 29,065

359 360 355 343 334 420 387 175 299 374 345 375 342 370 341 405 418 321 498 362 411 330 398 352 339 367 301 344 341 280 341 288 372 490 322 226 308 324

Nepal Japan Sri Lanka Sudan Tajikistan Taiwan Thailand Turkmenistan Uzbekistan Hongkong Singapore Syria Yemen Iran Israel India Indonesia Vietnam Total Others Total All data sourced from CIQ

17.5 190 1,475 1,352.6 278.8 2,940 110.6 218 4,144.4 125 2,689.7 20,778 158 31,260

469 418 378 380 337 345 417 401 410 393 385

60 427 5,965 13,156 356 66 7,781 4,099 10,417 1,648 1,583 1,289 4,407 14,156 20 8,387 3,165 64,161 282,507 1 447,324

424 342 333 313 319 341 331 299 295 356 356 333 345 347 340 354 336 332

The volume and average prices of China's Export Solid Caustic soda 2008
Volume USD/MT

70,000 60,000 50,000 40,000 30,000 20,000 10,000 0

Jun July Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 07 07 07 07 07 07 07 08 08 08 08 08 08

390 380 370 360 350 340 330 320 310 300

Volume

Average prices

Note: Average prices of Export Solid caustic soda are calculated from General Trade.

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Downstream market
Industry Alumina Paper pulp Novamat Soap Synthetic detergent Production yield in June 10K DMT 201.7 183.3 11.6 7.6 59.2 Growth yr-on-yr% 24.2 -3 -8.6 14.4 2.6

Forecast
August domestic caustic soda market was more diffused by the Olympic atmosphere, and producers in the cities that would hold Olympic Games and the ones which were surrounding of Beijing would continue to maintain low operating rate or ever decline further. The unbalance between supply and demand would cause the price of caustic soda to consolidate in the future market.

Production news CHINESE CAUSTIC SODA PLANTS OPERATION (Unit: KDMT/Yr)

Region Northeast China Producer Jinhua Chemical Shenyang Chemical Tianjin Chemical Plant Tianjin Dagu Chemical LG Bohai Chemical Sinopec Qilu Petrochemical N.China Shandong Hengtong Chemical Tangshan Sanyou Chlor-Alkali Shanxi YuShe Chemical Inner Mongolia Haiji Chlor-alkali Weifang Yaxing Henan Shenma Chlor-alkali Haohua Yuhang Chemical C.China Kaifeng Dongda Chemical normal normal normal normal normal June, running at a low operating rate due to the Zhuzhou Chemical electricity problems July, run normally NW.China Ningxia Yinglite Chemicals Xinjiang Tianye Page 11 normal normal July, operating rate was not full July, run at a low operating rate July, run at a low operating rate normal normal normal normal normal July, running at about 50% July, run at a low operating rate normal Operating Rate Caustic Soda Plant Update (unit: kt/yr) July 2-4, shut down for maintenance July, maintain low operating rate July, maintain low operating rate July, running at about 80%

Xinjiang Zhongtai Chemical

normal June 9-18, shut down for maintenance

Shaanxi Jintai Chlor-alkali

July, run at a low operating rate in the first ten days, then run normal in the middle ten days

Shanghai Chlor-Alkali Taixing SP Chemicals normal

July, operating rate was not full August 2, plan to shut down for maintenance July, run normally basically for the 110 kt/yr

Jiangdong Chemical

normal

unit; Expansion by 60 kt/yr new unit in the middle ten days of July

E.China

Jiangsu Anpon Electrochemical Hangzhou Electrochemical Zhejiang Juhua Group

normal normal normal

July, running normally July, running normally August, plan to commission for 50 kt/yr new unit July, run normally for 100 kt/yr membrane

Zhejiang Shangao Chemical

normal

grade unit in Zhenyang, Ningbo and 110 kt/yr membrane grade unit in Shangao

S.China

Nanning Chemical Southeast Electrochemical Yibin Tianyuan Group

normal normal June, run at 70-80% normal June, run normally June, run at 50%

SW.China

Zigong Honghe Chemical Sichuan Jinlu Group

Page 12

CAUSTIC SODA EXPANSION (unit: kt/yr)

N o 1 2 3 Producer Yibin Tianyuan Group Tangshan Sanyou Chlor-Alkali Two Lions (ZhangJiaGang)Fine Chemical Co.,Ltd. Jiangdong Chemical Shandong Xinfa Chemical Shandong Haihua Chemical Ningxia Yinglite Chemicals Inner Mongolia Elion Chemical Haohua Yuhang Chemical Shanxi Yushe Chemical Henan Shenma Chlor-alkali Nanning Chemical Jiangsu Suhua Sinopec Nanjing Petrochemical Hubei Yihua Chemical Jilantai Group Taixing SP Chemicals Xinjiang Tianye Xinjiang Zhongtai Chemical 300 240 250 60 13 100 90 270 110 100 22 120 90 100 Caustic Soda Capacity D G* 150 M G* 150 100 150 DG MG 150 100 150 June, run at 70-80% July, running at about 50% July, run normally July, run normally basically for the 110 kt/yr unit; Expansion by 60 kt/yr new unit in the middle ten days of July July, run normally July, run normally July, run normally Expansion by 360 kt/yr; July, run normally / Late Dec, start-up for another 100 kt/yr unit / Others continue to be delayed July, run at a low operating rate July, run at a low operating rate July, run at a low operating rate July, run normally July, run normally July, run normally July, run normally July, run normally for 200 kt/yr new unit August 2, plan to shut down for maintenance M3 Nov, commissioning for 160 kt/yr membrane unit; / July, operating rate was not full M3 Nov, commissioning for 100 kt/yr membrane unit;/ July, run normally Caustic Soda Expansion Update

4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19

70

100 250 150 100 360 200 100 20 40 90 100 12 200 150 160 100

Page 13

SODA ASH
Domestic market
Domestic light soda ash prices remained flat, while dense soda ash prices mainly kept at a high level in this month. Most producers entered traditional maintenance season in July, so output decreased obviously. In addition some produces actively sought export opportunities, domestic market showed insufficient supply of soda ash. Few tonnages with low prices flew into the market of North China and Northeast due to Olympic Games, so local prevailing prices was at high level. Tonnages with low prices from Centre China had more advantages in East China and South China. Most producers kept low operating rates thanks to a tight supply of raw material especially coal and limestone in July. Meanwhile, Olympic Games also brought some limitations on soda ash transport. Analysts believed that price of soda ash will raise in August.
Average price Region L-Soda July RMB/mt four weeks ago 1911 D-Soda July RMB/mt four weeks ago 2081.75 Prices behaved downward tendency Market situation woke up in this end of month Prevailing prices run smoothly The price still kept at a low level Tonnages with high prices controlled the market Prices was at the lowest level in this region Prices rose slightly in July market movement L D

Forecast

E.China

1916

2075

S.China N.China C.China NE.China

2058.75 1990 1822.5 2125

2045 2000 1850 2125

2200 2150 1975 2275

2172.5 2150 1975 2275

SW.China NW.China Note: 1 2

1920 1728.75

1850 1791

2175 1814.5

2197.75 1895

L-Soda: Light soda

D-Soda: Dense soda

: stable, :slight increase, : slight drop, : sharp increase, : sharp drop

Soda ash price monitoring LIGHT SODA ASH

EAST July 4 July 11 July 21 July 28 RMB/mt RMB/mt RMB/mt RMB/mt 1880-1930 1880-1930 1900-1950 1900-1950 SOUTH 2050-2150 2050-2150 1950-2100 1950-2100 NORTH 1950-2050 1950-2050 1950-2050 1900-2000 NORTHEAST 2100-2150 2100-2150 2100-2150 2100-2150 SOUTHWEST 1850-1950 1850-1950 1900-2000 1950-2000 CENTER 1800-1900 1750-1850 1800-1850 1850-1900 NORTHWEST 1650-1800 1650-1800 1650-1800 1650-1800

Page 14

DENSE SODA ASH

EAST July 4 July 11 July 21 July 28 RMB/mt RMB/mt RMB/mt RMB/mt 2050-2100 2050-2100 2050-2100 2050-2100 SOUTH 2150-2250 2150-2250 2100-2200 2100-2200 NORTH 2100-2200 2100-2200 2100-2200 2100-2200 NORTHEAST 2250-2300 2250-2300 2250-2300 2250-2300 SOUTHWEST 2150-2200 2150-2200 2150-2200 2150-2200 CENTER 1950-2000 1950-2000 1950-2000 1950-2000 NORTHWEST 1670-1950 1670-1950 1670-1950 1670-1950

Jan-Jun domestic soda ash average ex-work price trend diagram 2250.00 2200.00 2150.00 2100.00 2050.00 2000.00 1950.00 1900.00 1850.00 1800.00 1750.00 1700.00 1650.00 1600.00 1550.00 1500.00
2Ja 8- n J 14 an -J a 20 n -J 26 an -J a 1- n Fe 7- b F 13 eb -F 19 eb -F 25 eb -F e 2- b M 8 - ar M 1 4 ar -M 20 ar -M 26 ar -M 1- ar A 7- pr A 13 pr -A 19 pr -A 25 pr -A 1- pr M 7 - ay M 1 3 ay -M 19 ay -M 25 ay -M 31 ay -M a 6- y Ju 12 n -J 18 un -J 24 un -J 30 un -J u 6- n J 12 ul -J u 18 l -J 24 ul -J u 30 l -J u l

Light soda ash

Dense soda ash

(Average price of soda ash from 1 Jan to 31 July)

Export Date
CHINESE SODA ASH EXPORTS To S. Korea Indonesia Vietnam Thailand Bangladesh Japan Philippines Malaysia Nigeria Taiwan Saudi Arabia Peru June 08 Tons 38,623 30,392 22,933 16,705 16,496 12,843 11,916 8,485 3,369 3,038 2,179 2,030 May 08 Tons 45,856 52,097 18,899 24,047 20,235 11,326 14,740 7,041 751 6,240 1,010 Jan-Jun 08 Tons 205,309 222,382 107,825 100,777 77,394 62,081 83,771 37,081 21,972 24,006 2,739 3,040

Page 15

Ecuador Yemen Korea India Honduras S.Africa Pakistan Others Total

1,772 1,740 1,403 1,351 1,244 1,208 1,060 5,679 184,465

200 595 2,142 2,620 3,997 3,923 5 10,235 225,959

1,972 5,025 12,151 16,423 7,070 8,357 1,065 32,028 1,032,468

CHINA SODA ASH* EXPORTS IN JUNE 2008 Trade mode Frontier Small Trade Processing Trade External Contractors Project General Trade Others Total All data sourced from CIQ Volume Tons 36 50 184,117 184,465 Sum USD 10,201 31,680 53,670,844 53,772,206 Average prices USD/MT 283 634 292 -

CHINESE SODA ASH EXPORTS TO KEY REGIONS June, 08 Volume, MT S. Korea Indonesia Vietnam Thailand Bangladesh Japan Philippines Malaysia Nigeria Taiwan others total 38,623 30,392 22,933 16,705 16,496 12,843 11,916 8485 3,369 3,038 19,666 184,465 average price, USD/MT 286 290 293 284 303 285 289 302 304 296

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The volume and average prices of China's Export Soda Ash 2008
250,000 200,000 Volume 150,000 100,000 50,000 0
Jun July Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 07 07 07 07 07 07 07 08 08 08 08 08 08

350 300 250 200 150 100 50 0 USD/MT

Volume

Average prices

Page 17

Hydrochloric acid
CHINESE DOMESTIC PRICES
E.China July 4 July 11 July 21 July 28 RMB/mt RMB/mt RMB/mt RMB/mt 430-580 430-580 430-580 430-580 S.China 550-650 550-650 550-650 550-650 N.China 550-650 500-630 430-580 430-580 NE.China 650-700 680-730 680-730 700-750 SW.China 650-700 650-700 650-700 650-700 C.China 350-500 380-500 380-500 380-500 NW.China 300-460 300-460 300-460 300-450

HYDROCHLORIC ACID PRODUCTION OUTPUT, MT

Hydrochloric acid E.China S.China N.China SW.China NW.China NE.China C.China Total Jan 164,020 58,108 149,882 47,176 63,428 31,747 106,178 620,539 Feb 152,201 47,499 137,546 41,557 72,877 26,247 85,722 563,649 Mar 181,802 64,315 126,249 49,846 82,081 24,932 98,986 628,211 Apr 203,911 59,361 153,085 46,673 78,913 24,435 85,920 652,298 May 193,942 64,867 136,150 55,501 62,469 22,802 93,226 628,957 Jun 196,523 70,068 135,253 61,908 86,184 29,493 98,726 678,155

CHLORINE

Highlights
Chlorine prevailing prices fluctuated sharply in July. In early July market situation had warmed up in East China, North China and Center China. However domestic chlorine prices dropped continuously in the next days due to the insipid downstream market condition and transportation difficulties. Sluggish market situation affected hydrochloric acid prices.
Average price RMB/mt Region July Four weeks ago 1,548 Prices fluctuated sharply and appeared downward tendency Decreased demand and environmental protection problem affected chlorine prices Most downstream producers shut up during the Olympic Games Market movement Forecast

E.China

1,674

S.China

1,550

1,657

N.China

1,467

1,512

Page 18

C.China

1,441

1,380

Tonnages with low prices controlled market situation Prevailing prices kept at a low level due to excessive supply Affected by Olympic Games, prices dropped at large In this region chlorine market had a greater price gap

NW.China

1,274

1,580

NE.China

1,637

1,500

SW.China Note: 1 2

1,809

1,967

L-Soda: Light soda

D-Soda: Dense soda

: stable, :slight increase, : slight drop, : sharp increase, : sharp drop

CHLORINE DOMESTIC PRICES

E.China July 4 July 11 July 21 July 28 RMB/mt RMB/mt RMB/mt RMB/mt 1660-1800 1700-1850 1400-1800 1400-1800 S.China 1400-1700 1400-1700 1400-1700 1400-1700 N.China 1480-1800 1500-1800 1100-1500 1100-1500 NE.China 1600-1700 1600-1700 1600-1700 1600-1700 SW.China 1650-2000 1650-2000 1600-1900 1600-1900 C.China 1300-1500 1300-1800 1300-1650 1200-1650 NW.China 1400-1700 1400-1700 1000-1600 600-1000

Downstream Sectors

Products PVC Chlorinated paraffin ECH Chlorinated Methanes CPE

Condition The chlor-alkali producers were back up due to a tight supply of calcium carbide Many producers shut up due to environmental protection In order to prevent price reduction, some producers reduced their operating rates in July Most producers were back up and ran at about 70-80% of capacity In Shandong province some manufactures had to shut up because of the power restriction

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Glossary
East China North China South China Northeast China Southwest China Center China Northwest China Jiangsu, Jiangxi, Zhejiang, Anhui, Shanghai Beijing, Tianjin, Hebei, Inner Mongolia, Shanxi, Shangdong Guangdong, Guangxi, Fujian Heilongjian Jilin, Liaoning Sichuan,Chongqing, Yunnan,Guizhou Henan, Hubei, Hunan Shanxi, Qinghai, Gansu, Sinkiang, Ningxia

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