Hydrogen Peroxide Market in September 2026: Prices Surge Beyond Expectations, Trend Remains Positive

Source: Zhuochuang Information | Updated September 16, 2026

China's hydrogen peroxide (H₂O₂) market recorded a clear upward momentum in September 2026, in line with the seasonal price-rising trend that typically appears late in the third quarter. However, this month's increase far exceeded initial expectations as demand from downstream industries improved, market sentiment turned positive, and pre-holiday stockpiling took place earlier than anticipated.

According to Zhuochuang Information, as of September 15, 2026, the average price of 27.5% concentration hydrogen peroxide across China reached about 855 RMB/tonne, up 14% from the price on September 1. The uptrend began in northern China before gradually spreading south and accelerating markedly in the middle of the month.

Downstream demand improves, especially from the Caprolactam industry

One of the key factors supporting hydrogen peroxide prices is the improved profitability of downstream industries that use H₂O₂.

Recently, industries such as Caprolactam, Propylene Oxide and Iron Phosphate have all recorded improved profits, thereby boosting operating rates and hydrogen peroxide consumption. Meanwhile, the paper industry remains in a low-profit state and has yet to create significant momentum for H₂O₂ demand.

Notably, the Caprolactam market changed markedly from mid to late August as product prices rose and the industry shifted from losses to profit. Some large producers ramped up hydrogen peroxide purchases, while some enterprises temporarily halted sales to the market. This helped H₂O₂ demand rise considerably and added further momentum to prices.

For Iron Phosphate, supply is relatively limited while profitability has improved and operating rates remain high. Demand in central and southwestern China continues to be strong.

Conversely, the HPPO industry has yet to create strong momentum for the market. This industry's operating rate has long remained below 40%. The recent resumption of operations at some plants in Jia Hong and Qi Xiang in the past week has lifted operating rates and increased hydrogen peroxide output. However, demand from this segment generally remains rather weak.

Market sentiment drives stockpiling activity

In addition to actual demand, market sentiment has also played an important role in this price increase.

After hydrogen peroxide prices rose continuously in recent times, many downstream customers have tended to accelerate their purchases to limit the risk of further price increases. This sentiment is particularly evident amid rising crude oil and coal prices in September, which have pulled up the prices of many other chemical products.

The price increases of downstream products such as Caprolactam and Propylene Oxide continue to reinforce positive market expectations. At the same time, the need to prepare stock ahead of the Mid-Autumn Festival and China's National Day holidays has emerged earlier than expected.

Some market information also indicates that large Caprolactam producers may generate new purchasing demand for October, although these orders still require further confirmation.

Overall, the combination of actual demand, buying sentiment amid rising prices, and pre-holiday stockpiling has helped the hydrogen peroxide market maintain a relatively positive state.

Supply increases but has yet to create major pressure on the market

On the supply side, the operating rates of hydrogen peroxide plants are also rising.

In September, relatively few plants had maintenance plans. Some large plants such as Jiangsu Jia Hong, Hubei Huaqiang, Dongyangguang and Qixiang Tengda have raised their operating rates recently.

As of September 15, the operating rate of hydrogen peroxide plants across China reached about 72.93%, up around 5 percentage points from the lowest level recorded on September 7.

However, no significant new capacity came into operation in September. In addition, inventories in some key producing areas remain low. Therefore, although supply is trending upward, oversupply pressure on the market is currently not too pronounced.

Price momentum may slow but the price level remains supported

After the sharp price increase in the first half of September, reactions from downstream customers began to grow. Some customers have tended to be more cautious as prices rose quickly in a short period.

In addition, low-priced orders signed earlier are still being fulfilled, helping to maintain supply in the short term. Therefore, to sustain the new price level, the market will need continued support from actual orders.

In the short term, hydrogen peroxide prices are likely to slow in their pace of increase as regions need time to absorb the new price level. However, low inventories in key producing areas, existing order volumes, and pre-holiday stockpiling demand remain important supporting factors.

Market Assessment

Overall, China's hydrogen peroxide market in September 2026 is being simultaneously affected by improved downstream demand, positive market sentiment, and pre-holiday stockpiling activity. Although the price momentum is forecast to slow after the recent sharp increase, the current supply-demand factors are still providing a relatively positive foundation for the market.

In the short term, hydrogen peroxide prices are forecast to remain high and the market relatively strong. However, further increases will depend more on downstream customers' ability to absorb prices and the actual improvement in consumption demand.