2021 will be an extraordinary year for the TPU industry. The TPU market price greatly raised as the skyrocketing price of raw materials and reaching the highest level in recent years. As below TPU market price chart of 2019-2021 show, the price fluctuation of TPU in 2021 is much larger than that in 2019 and 2020.

At the beginning of 2021, with the large-scale implementation of the plastic restriction order, the consumption of raw materials BDO and AA has increased, and the price of raw materials has skyrocketed, which driving the price of TPU to rise sharply. In early March, the price of TPU rose to a historical high in the past four years. For example price of TPU material used to produce mobile phone case has risen from 18,000 yuan / ton to 26,500 yuan / ton. It increase 47.22% within a month.

At the beginning of the second quarter, downstream factories can’t accept such high TPU prices, Purchase quantity of downstream factories reduce. Raw material prices continued to fall and bulk commodities began to slowly return to rationality. TPU factories lowered TPU prices appropriately according to the cost of raw materials.

In the middle of June, many factories have maintenance plans in July, the supply has decreased, the raw material BDO stock is tight. The cold storage of Pure MDI is tight, the MDI factory delivery goods slowly. Price of pure MDI, BDO, and AA stopped falling and rebounded. the TPU market price started a rebound. The price increasing news also stimulated the stocking behavior of some downstream companies which lead the transaction of TPU improved.

The Chinese domestic dual-control policy is strictly implemented in second half of 2021 . Under the influence of power and production restrictions, the average start-up of the TPU industry is at a low level, and the market supply of TPU is reduced. However, the traditional peak season "Golden Nine and Silver Ten" has arrived. Then the TPU market price has begun to rise again.

Since November, the national power and production restrictions have basically ended, and the downstream factories has gradually turned to the off-season. The TPU market price has fallen again. It was expected that the price downward trend at the end of 2021 will continue to the beginning of 2022, but due to the strengthening of crude oil, natural gas and other bulk raw material prices, the prices of TPU upstream main raw materials, such as AA, continued to rise. TPU factories such as Wanhua and BASF announced price increases on February 8 and February 10.