Analysis of Guangxi Construction Formwork Prices in the Second Quarter of 2021
Release time:
2021-06-02 13:54
Source:
As of May of this year, the construction formwork industry in Guangxi has entered the second-quarter price fluctuation period. Will prices go up or down?
Since the beginning of 2021, the cost of construction formwork in Guangxi has been on a rising trend. In April, it even broke through historical highs, causing our Guangxi formwork manufacturers’ costs to exceed their selling prices—a phenomenon known as “inverted pricing.” As a result, companies were forced to cut production just to stay afloat, struggling desperately to keep going. During that period, Guangxi’s formwork manufacturers were truly facing an extremely difficult situation; some even had to halt production altogether. Then, in May, chemical products began hitting their daily price limits—this was a positive sign. The daily limit indicated that prices would soon start to fall. Sure enough, by mid-May, trimellitic anhydride (TMA) prices started to decline. Although urea-formaldehyde prices hadn’t yet fallen, TMA was the main driver of this trend. Previously, TMA quotes had surged to new historical highs, sending many formwork manufacturers into a state of panic.
By the end of May 2021, as we were about to enter June—the second quarter of 2021—building formwork prices in Guangxi once again began to fluctuate. At this time, the weather had entered the hot summer season, with scorching temperatures that imposed certain restrictions on construction activities at many job sites, thereby reducing the demand for building formwork. Meanwhile, production by Guangxi’s building formwork manufacturers continued to rise. When supply exceeded demand, many formwork manufacturers launched a price war. As a result, building formwork prices in Guangxi declined during the second quarter. 
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