In May 2024, the Soda Ash market experienced a notable rebound in Asia, driven by a combination of supply reductions and positive economic indicators. The Soda Ash market saw a significant decrease in inventories, attributed to maintenance turnarounds in several Soda Ash production units, further leading to a tightened supply in the APAC market. The improved sentiment in spot trading was also bolstered by a sharp rise in futures prices, resulting in better order situations for Soda Ash manufacturers.

Throughout this period, the inventory levels of Soda Ash dropped significantly, and concurrently, Soda Ash prices saw an increase in April and May 2024. This price momentum has been largely fueled by favorable real estate policies, a recovering macroeconomic landscape, and robust market fundamentals in the region. Additionally, the Soda Ash market witnessed an influx of long funds, which actively increased their positions, further propelling the market upwards. However, towards the May ending, some of these long positions began to reduce or close to secure profits, leading to a significant narrowing in the market's increase. Looking ahead, the sustainability of this upward trend will depend heavily on the continued impact of real estate policies and overall economic recovery. In the short term, the combination of scheduled maintenance and strong demand is expected to keep the Soda Ash market buoyant.

Moreover, several maintenance activities are slated for the near future, including the overhaul of Shandong Haihua's new plant from May 21 to June 4, and the week-long maintenance of the Xu Ri workshop at Tongbai Haijing in Henan starting May 17. Meanwhile, the maintenance schedule for Tangshan Sanyou Chlor-alkali has been postponed. These activities are anticipated to keep the Soda Ash supply constrained in the short term. The maintenance activities of enterprises have created opportunities for supply speculation. Combined with strong demand, this is expected to keep the Soda Ash market robust shortly.

As per ChemAnalyst, Asian Soda Ash prices are likely to increase amid constrained supplies and improvement in the downstream glass industry demand. The Soda Ash capacity utilization rate recorded a slight decrease from the previous month. Overall, the Soda Ash market is expected to remain strong in the near term, driven by the combined effects of limited supply due to maintenance, robust demand, and positive economic signals. However, the market participants will need to closely monitor the unfolding impacts of economic policies and maintenance schedules to gauge the market's future trajectory.