Phosphoric acid market in early July ushered in a brief calm, when the industry for the phosphoric acid trend is about to be bearish, the market entered a new volatility. Since July 12, the market price of phosphoric acid has been rising, and the construction of enterprises has been affected again, which is undoubtedly worse for the recovering phosphoric acid market.

In early July, due to the loosening of power rationing policy in Yunnan Province, the upstream yellow phosphorus added downward price, while the downstream phosphoric acid market mainly waited to see the market trend, but the market price has shown signs of decline. Since July 12, Yunnan province has again restricted power supply, and yellow phosphorus enterprises have again reduced production in a large area. With the shortage of supply, the price has risen sharply. Phosphoric acid enterprises after experiencing the market in June, followed the price rise very quickly this time, domestic price jumped to the high and controlled the order. Since July 19, most of the thermal process phosphoric acid manufacturers have temporarily not offered, mainly delivered early signed orders. Although manufacturers have sporadic high price orders, the downstream acceptance is low, as individual traders have the early low inventory, the offer was lower than the current market price. In terms of wet acid purification, on July 15, Weng Fu raised the price of wet acid, and traders and wet acid manufacturers around the country also raised their prices accordingly. Due to the high price of thermal acid and the reduction of supply, the demand for wet acid has been boosted.

In early June, due to shortage of raw materials, phosphoric acid market started to fall to a low point all the way. However, in late June, phosphoric acid market started to increase at a high rate and recovered to a more normal level. Although the construction started to increase, because of early shutdown the factory owed more orders, most enterprises still hurried to make the early order, new order is still under control. When everything was going well, Yunnan province had power rationing again, and the rapid decline of yellow phosphorus production led to supply shortage. Under the double pressure of new and old orders, phosphoric acid manufacturers fell into difficulties again. Most enterprises have suspended receiving orders, and delivered a moderate amount of early orders. At present, due to the tension of raw materials and high prices, phosphoric acid manufacturers have a strong mentality of resistance, and the reduction of raw material procurement led to a significant decline in the short term.