Sofeast’s team continues monitoring the cost evolution of key raw materials in China to help importers and manufacturers stay informed. This latest update reflects changes over the past year up to Aug 27, 2025.
Monthly China raw material cost changes
In August 2025, the raw materials market showed a mixed picture compared with July.
Here’s a rundown of how each material’s cost changed compared to the previous update, and what’s driving the shifts based on research from market analysts:
Epoxy Resin (E-51) +1.70% monthly change
This week, the market price of epoxy resin remained stable.
Drivers: Strong cost support and some wind power customers entering the market for replenishment.
Outlook: Next week, the domestic epoxy resin market is expected to remain stable with a narrow upward movement.
ABS (AG-15E1) -1.34% monthly change
The ABS market saw a slight decline in some regions, with sluggish trading.
Drivers: Limited cost support, abundant supply, and weak fundamentals.
Outlook: Prices are likely to remain weak and in a stalemate, fluctuating within a narrow range.
Silicone (110) -10.38% monthly change
Silicone rubber prices continued to decline.
Drivers: The cost of raw material DMC continued to fall, pushing the cost base lower.
Outlook: DMC is expected to decline initially, then stabilize, with silicone rubber prices following these cost fluctuations.
Zinc Alloy (Zamak5) -1.65% monthly change
Electrolytic zinc prices dropped then rebounded, but the weekly average still declined.
Drivers: Supply-demand imbalance has widened, putting pressure on prices.
Outlook: Zinc prices will likely continue to fluctuate, with less significant market news driving change.
Aluminum Alloy ADC 12 +3.22% monthly change
Aluminum prices operated within a narrow range and showed a slight correction.
Drivers: Stable macro sentiment with moderate demand recovery.
Outlook: Aluminum prices are expected to rise slightly within a narrow band next week.
Paper for Color Box (157g) -6.36% monthly change
Copperplate paper prices stabilized, though the weekly average still fell due to low base pricing.
Drivers: Inventories continue to increase slowly, and profit margins remain under pressure.
Outlook: Most mills will operate normally, supply will remain sufficient, and market prices are likely to stay stable.
Stainless Steel (304/2B 0.4MM) +0.88% monthly change
Stainless steel prices declined this week.
Drivers: The Cooling macro environment and the balance between supply and demand led to concessions and a downward adjustment.
Outlook: Prices are gradually stabilizing and expected to rebound slightly.
Battery Material (Lithium cobalt oxides) +1.81% monthly change
The price of ternary cathode materials rose slightly.
Drivers: High lithium carbonate prices and a small rise in nickel sulfate costs pushed prices upward.
Outlook: Prices are expected to remain high in the short term.
Overview: Market Remains Mixed
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Stable: Epoxy resin shows resilience, providing predictability for users in electronics and coatings.
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Weak: ABS and silicone continue downward trends—buyers may find opportunities to negotiate lower costs.
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Mixed metals: Zinc remains volatile, while aluminum and stainless steel suggest a rebound may be near.
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High pressure: Battery material costs remain elevated, impacting electronics and EV suppliers.
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Packaging: Paper stabilized, but abundant supply means prices won’t surge soon.
Actions you could take
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Negotiate with suppliers on ABS and silicone where weakness persists.
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Lock in aluminum and stainless steel purchases before expected rises.
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Monitor lithium and nickel supply closely if your products rely on battery cells.
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Stay in touch with paper suppliers. A stable but abundant supply means room for pricing flexibility.
How to combat rising costs?
Explore cost-reducing tips in this post: Rising Raw Material Prices: What Strategy To Follow? (6 Approaches).
What to do if your Chinese supplier suddenly tells you that material costs have risen: How To Cooperate With Your Chinese Supplier, Part 16: Bad News from China, Raw Material Prices Just Increased!
If your supplier just isn’t working out, maybe sourcing a new supplier will help you find one who can offer you better prices and more. If so, there’s no need to fear switching from your current supplier to a new one if you’re prepared: How To Switch To A Newer, Better Chinese Manufacturer? [eBook].
We hope this is helpful. Our mission at Sofeast is to help importers have transparency in their supply chain and to give them more control. And this information is critical to have some visibility into your manufacturer’s costing.
By the way, you can always contact us if you have any questions about whether a manufacturer’s quote is reasonable.
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