Oxalic Acid Market Intelligence Report (May 27, 2026)

I. Price Trends
1. Benchmark Price
- As of May 25, 2026, the Business Society’s oxalic acid benchmark price stood at RMB 4,033.33 per metric ton, representing a 13.30% increase from the beginning-of-month level of RMB 3,560/ton on May 1, and reaching a one-year high.
- Between May 14 and May 25, the benchmark price fluctuated within the range of RMB 3,966.67–4,033.33/ton, reflecting an overall stable yet strengthening trend.

2. Enterprise Quotations
- Industrial Oxalic Acid (99–99.6% purity): Quotation range of RMB 2,200–5,500/ton, with significant regional price differentials.
Low end: Shandong Qiangsen Chemical Co., Ltd. (Zibo, Shandong) quoted RMB 2,200/ton;
High end: Zhangzhou Xiangcheng San’an Chemical Co., Ltd. (Zhangzhou, Fujian) quoted RMB 5,500/ton.
- Refined Oxalic Acid (≥99.9% purity): Quotations concentrated in the range of RMB 3,000–4,500/ton; some enterprises command premium pricing due to advanced production processes or brand reputation.
- Liquid Oxalic Acid: 30% concentration quoted at RMB 1,800–2,000/ton; 60% concentration quoted at RMB 3,600/ton—primarily used in low-end applications such as cleaning agents.

II. Market Drivers
1. Demand-Side Factors
- Traditional Industries: Steady growth in demand from pharmaceuticals, rare earths, textile dyeing & printing, etc. For example, oxalic acid serves as a key pharmaceutical intermediate (e.g., vitamin B6, sulfonamide drugs) and as a precipitant in rare-earth processing—both exhibiting strong demand rigidity.
- Emerging Sectors: Surging demand for refined oxalic acid from new-energy sectors—including battery electrolytes and supercapacitors—as well as the photovoltaic industry, driving up prices for premium-grade products.
- Agricultural Exports: Countries such as Pakistan, with growing pesticide demand, have become major export markets for Chinese oxalic acid. In 2025, China’s oxalic acid exports totaled 199,800 metric tons, registering significant year-on-year growth.

2. Supply-Side Factors
- Production Capacity Distribution: China is the world’s largest producer of oxalic acid. Leading enterprises—including Hualu Hengsheng, Longxiang Industrial, and Fengyuan Co., Ltd.—dominate market share, employing production technologies such as carbohydrate oxidation and sodium formate methods.
- Regional Disparities: Significant quotation differences exist among producers in Shandong, Henan, Fujian, and other provinces, driven primarily by logistics costs, brand premiums, and raw material supply stability.
- Environmental Pressures: Some small- and medium-sized enterprises (SMEs) have curtailed output due to tightening environmental regulations, tightening overall supply and supporting price increases.

3. Cost-Side Factors
- Fluctuations in upstream raw material prices—including coal, sulfuric acid, and ethylene glycol—significantly impact oxalic acid production costs. While coal prices have recently stabilized, tight supply in the sulfuric acid market has pushed up input costs, indirectly supporting oxalic acid prices.

III. Analysis & Outlook
1. Short-Term Trend
- Price Consolidation at Elevated Levels: Amid seasonal demand strength and constrained supply, oxalic acid prices are expected to remain within the RMB 4,000–4,100/ton range in late May, with further widening of enterprise quotation spreads.
- Expanding Regional Price Differentials: Prices in major producing regions—such as Shandong and Henan—remain relatively low due to logistics advantages, whereas quotations in Fujian and Jiangsu are higher owing to brand premiums and transportation costs.

2. Medium-to-Long-Term Trend
- Sustained Demand Growth: The global oxalic acid market is projected to expand from USD 1.65 billion in 2025 to over USD 2.0 billion by 2030, achieving a compound annual growth rate (CAGR) exceeding 4%. Demand from emerging sectors is expected to account for more than 30% of total consumption.
- Optimization of Production Capacity Structure: Expansion of refined oxalic acid capacity is accelerating; the share of industrial-grade oxalic acid is anticipated to decline from its current 93% to below 90%, broadening premium pricing potential for high-end products.
- Enhanced Export Competitiveness: Leveraging cost advantages and quality improvements, Chinese oxalic acid is poised to further penetrate export markets in Southeast Asia, Europe, and beyond.

IV. Risk Alerts
1. Demand Volatility Risk: A slowdown in growth rates across new-energy and photovoltaic industries could lead to weaker-than-expected demand for premium oxalic acid, triggering price corrections.
2. Raw Material Price Risk: Sharp increases in coal or sulfuric acid prices may compress manufacturers’ profit margins, prompting reactive price hikes or production cuts.
3. Policy Risk: Stricter environmental regulations could accelerate SME exits from the market, intensifying short-term supply shortages and price volatility.

V. Forecast Conclusions
- Price Range: The benchmark price for oxalic acid in June 2026 is forecasted to trade between RMB 4,000–4,200/ton; enterprise quotations for industrial-grade oxalic acid will remain highly diversified, while prices for refined oxalic acid are expected to stabilize with modest upward momentum.
- Market Opportunities: Focus on demand growth from new-energy and photovoltaic value chains for refined oxalic acid, as well as incremental opportunities arising from export market expansion.
- Strategic Recommendations: Downstream users may consider moderately increasing inventory ahead of peak-season demand; traders should closely monitor regional price differentials and raw material cost developments to optimize procurement strategies.