What is Phenol
Analysts Sentiment
Bullish
28.7%
Neutral
22.8%
Bearish
48.5%
What's driving sentiment this week:
Past Week (2026-06-01 to 2026-06-07) — Sentiment: Bearish
Jilin Petrochemical’s phenol price increase on June 3 signals oversupply pressures in East China that weigh on global spot benchmarks and push export adjustments lower.
Weakening US acetone prices through early June reflect softer downstream demand in adhesives and solvents that drag on phenol co-production economics and volume.
Although Brent crude surged above $97/bbl on June 5, OPEC+’s production quota hike on June 7 cushioned energy cost pressure, creating a neutral overall impact on phenol feedstock input margins.
This Week (2026-06-08 to 2026-06-14) — Outlook: Neutral
Phenol prices are expected to stabilize as mixed supply-demand signals and offsetting crude market moves create balanced risks into mid-June.
The upcoming EIA Short-Term Energy Outlook on June 9 will be key for benzene and ethylene feedstock price visibility that influences cumene and phenol production economics.
A sharper-than-expected swing in downstream chemical demand or crude price volatility would quickly tip phenol pricing into directional momentum.
Key Market Impact
The dominant theme is regional supply-induced price softness pressed by downstream demand weakness despite elevated crude feedstock levels.
Market participants are likely delaying aggressive buying, holding back refinery runs and exports amid tight margin visibility and risk of further phenol price declines.
How About the Price?
Price Trajectory 2020–2026 (Brief Recap)
Phase 1 — Stable & Moderate Growth (2020-01 to 2020-07): Prices increased gradually from $650.00 in January 2020 to $730.00 in July 2020, with no recorded influence or specific events in the logs.
Phase 2 — Decline Period (2020-08 to 2021-01): Prices dropped from $710.00 in August 2020 to $580.00 in January 2021, coinciding with no recorded influencing factors in the event log.
Phase 3 — Recovery & Consistent Growth (2021-02 to 2026-06-08): Prices rebounded and then increased steadily from $590.00 in February 2021 to $1870.00 by June 2026 as per the data; the event log shows no documented factors driving this gradual upward trend.
Supply-side factors
- No supply-side factors documented in the influence/events log for the period 2020–2026.
Demand-side factors
- No demand-side factors documented in the influence/events log for the period 2020–2026.
Substitutes & Alternatives
| Substitute / Alternative | Replacement Scenario / How It Substitutes |
|---|---|
| Cresols (ortho-, meta-, para-cresol) | In phenolic resin formulations and as disinfectants, cresols can partially or fully replace phenol. They offer similar reactivity with formaldehyde to form cresol-formaldehyde resins used in laminates and coatings. Substitution typically requires reformulation to account for different reactivity ratios and slightly altered mechanical properties of the resulting resin. |
| Resorcinol | Used as a partial substitute for phenol in specialty phenolic resins, particularly rubber-to-cord adhesive systems (resorcinol-formaldehyde-latex, RFL) and wood adhesives where faster cure rates and improved bonding to rubber are required. It is a drop-in replacement in resin synthesis but is significantly more expensive, so use is limited to performance-critical applications. |
| Bisphenol F (BPF) | In epoxy resin systems, BPF-based epoxies can substitute for BPA-based epoxies (which are derived from phenol) in coatings, adhesives, and composites. BPF offers lower viscosity and is used where BPA restrictions apply or where improved chemical resistance is needed. Requires reformulation of the epoxy system. |
| Cardanol (cashew nut shell liquid, CNSL) | A bio-based phenolic compound that can partially replace phenol in phenol-formaldehyde resins, friction materials, and surface coatings. It imparts flexibility to otherwise brittle phenolic resins. Substitution is typically partial (up to 30–50% replacement) and requires adjustment of resin synthesis conditions due to cardanol's lower reactivity with formaldehyde. |
| Lignin-derived phenolics | Kraft lignin and lignosulfonates can partially replace phenol (typically 20–50%) in phenol-formaldehyde wood adhesives and binder resins. This bio-based substitution is driven by sustainability goals and cost reduction. Full replacement is generally not feasible due to lower reactivity and variable composition of lignin; partial replacement requires process optimization. |
| Melamine (for melamine-formaldehyde resins) | In wood panel adhesives, laminates, and surface coatings, melamine-formaldehyde (MF) resins can substitute for phenol-formaldehyde (PF) resins where lighter color, faster cure, and improved surface hardness are desired. MF resins are a functional alternative in decorative laminates and paper impregnation but are not suitable for exterior structural applications where PF resins' moisture resistance is required. |
| Urea (for urea-formaldehyde resins) | Urea-formaldehyde (UF) resins are the dominant substitute for phenolic resins in interior wood panel products (particleboard, MDF) due to lower cost and faster cure. However, UF resins have inferior moisture and heat resistance compared to PF resins, so substitution is limited to interior, non-structural applications. UF resins also emit more formaldehyde, which is a regulatory concern. |
| Cyclohexanol / Cyclohexanone | In the production of caprolactam (nylon-6 precursor), cyclohexanol and cyclohexanone (KA oil) produced directly from cyclohexane oxidation can serve as an alternative route that bypasses phenol. This is a process-level substitution at the caprolactam producer level rather than a direct product substitute, and both routes are commercially practiced. |
| Nonylphenol alternatives (linear alcohol ethoxylates) | In surfactant applications where alkylphenol ethoxylates (APEOs, derived from phenol) are used, linear alcohol ethoxylates (LAEs) and other non-phenolic surfactants serve as drop-in or near-drop-in replacements. This substitution is driven by environmental regulations restricting APEOs in many markets due to endocrine-disruption concerns. |
Regulatory Status
| Region | Regulation / Policy Name | Issuing Authority | Year (enacted or latest revision) | Key Requirement / Threshold | Source |
|---|---|---|---|---|---|
| US | Permissible Exposure Limits (PEL) - Table Z-1 | OSHA | 1970 (current PEL values unchanged) | 8-hour TWA 5 ppm (19 mg/m³); STEL 15.6 ppm (60 mg/m³); Skin notation | US OSHA |
| US | Effluent Guidelines and Standards (EG) for Pulp, Paper and Paperboard (40 CFR Part 430); NPDES permit limitations for priority pollutants including total phenols | EPA | 1974 (initial), 1998 (toxic pollutant amendment) | Technology-based limits set by subcategory (e.g., daily maximum and monthly average concentrations for total recoverable phenols/phenolics as priority toxic pollutant); WQBELs may apply based on receiving water quality standards | US EPA |
| EU | REACH Regulation (Registration, Evaluation, Authorisation and Restriction of Chemicals) CLP Regulation for harmonised classification | ECHA (European Chemicals Agency) | 2006 (REACH entry into force); CLP (EC No 1272/2008) (current classification) | Acute toxicity category 3 (H301: toxic if swallowed); Skin corrosion/irritation category 1B (H314); Specific target organ toxicity (single exposure) category 2 (H371: may cause damage to organs); Aquatic acute category 1 (H400); No authorisation or restriction listed for phenol itself (CAS 108-95-2) | ECHA |
| China | No specific national emission standard or wastewater discharge limit identified for phenol in petrochemical sector | Ministry of Ecology and Environment (MEE) | Not applicable (no dedicated regulation located) | None | Ministry of Ecology and Environment (MEE) official reports and standards database |
| Global / WTO | No anti-dumping duties or tariffs identified on phenol or derivatives in current WTO or USITC trade measures | WTO / USITC | Not applicable (no active measures) | None | WTO / USITC |
| Global | UN Model Regulations on the Transport of Dangerous Goods (IMDG Code); UN Number 1671 | United Nations (administered by IMO / UNECE) | Current (updated periodically) | UN proper shipping name: PHENOL, SOLID; Class 6.1 (toxic); Packing group II | UN Model Regulations / IMDG Code |
Key Influence Events
Phenol (C6H5OH), also known as carbolic acid, is an aromatic organic compound consisting of a hydroxyl group (-OH) bonded directly to a benzene ring. It is a white crystalline solid at room temperature with a distinctive sweet, medicinal odor, a melting point of about 41°C, and is partially miscible with water. Phenol is one of the most important petrochemical intermediates, serving as a primary feedstock for the manufacture of bisphenol A (BPA), phenolic resins (phenol-formaldehyde), caprolactam, alkylphenols, aniline, and numerous other chemicals. It is produced commercially almost exclusively via the cumene hydroperoxide process (Hock process), in which benzene and propylene are alkylated to cumene, which is then oxidized and acid-cleaved to yield phenol and acetone as co-products.
Top Countries Production Capacity
Production Process of Phenol
Phenol (C6H5OH), also known as carbolic acid, is an aromatic organic compound consisting of a hydroxyl group (-OH) bonded directly to a benzene ring. It is a white crystalline solid at room temperature with a distinctive sweet, medicinal odor, a melting point of about 41°C, and is partially miscible with water. Phenol is one of the most important petrochemical intermediates, serving as a primary feedstock for the manufacture of bisphenol A (BPA), phenolic resins (phenol-formaldehyde), caprolactam, alkylphenols, aniline, and numerous other chemicals. It is produced commercially almost exclusively via the cumene hydroperoxide process (Hock process), in which benzene and propylene are alkylated to cumene, which is then oxidized and acid-cleaved to yield phenol and acetone as co-products.
Specs & Grades
| Property | Typical Value / Range | Unit | Grade / Standard |
|---|---|---|---|
| Purity (Phenol content) | ≥ 99.5 | wt% | Commercial / Industrial Grade |
| Purity (Phenol content) | ≥ 99.9 | wt% | High-Purity / Reagent Grade |
| Color (APHA / Hazen) | ≤ 10 | APHA | Commercial Grade |
| Color (APHA / Hazen) | ≤ 5 | APHA | High-Purity Grade |
| Water content | ≤ 0.05 | wt% | Commercial Grade |
| Freezing point (solidification point) | ≥ 40.5 | °C | Commercial Grade |
| Freezing point (solidification point) | ≥ 40.8 | °C | High-Purity Grade |
| Acidity (as acetic acid) | ≤ 0.01 | wt% | Commercial Grade |
| Carbonyl compounds (as acetone) | ≤ 0.010 | wt% | Commercial Grade |
| Carbonyl compounds (as acetone) | ≤ 0.005 | wt% | High-Purity Grade |
| Cumene content | ≤ 0.005 | wt% | Commercial Grade |
| Mesityl oxide + other ketones | ≤ 0.005 | wt% | Commercial Grade |
| Sulfur content | ≤ 1 | ppm wt | Commercial Grade |
| Iron content | ≤ 0.5 | ppm wt | Commercial Grade |
| Chloride content | ≤ 0.5 | ppm wt | Commercial Grade |
| Appearance | Clear, colorless liquid (above 41°C) or white crystalline solid | — | All Grades |
| Density (liquid at 45°C) | 1.055 – 1.060 | g/cm³ | All Grades |
| Boiling point (at 1 atm) | 181.8 | °C | Reference |
Who are the Top Players?
| Company | Headquarters | Key Facilities |
|---|---|---|
| INEOS Phenol | London, United Kingdom | Marl, Germany, Gladbeck, Germany, Antwerp, Belgium, Mobile, Alabama, USA, Pasadena, Texas, USA, Jurong Island, Singapore |
| Cepsa Quimica | Madrid, Spain | Huelva, Spain, Shanghai, China |
| Shell | London, United Kingdom | Deer Park, Texas, USA, Mobile, Alabama, USA, Norco, Louisiana, USA, Geismar, Louisiana, USA, Moerdijk, Netherlands, Rhineland, Germany |
| Mitsui Chemicals | Tokyo, Japan | Ichihara, Chiba, Japan, Takaishi, Osaka, Japan, Shanghai, China |
| Formosa Chemicals & Fibre | Taipei, Taiwan | |
| PTT Global Chemical | Bangkok, Thailand | Map Ta Phut, Rayong, Thailand |
| Sinopec | Beijing, China | Shanghai, China |
| Kumho P&B Chemicals | Seoul, South Korea | |
| LG Chem | Seoul, South Korea | |
| SABIC | Riyadh, Saudi Arabia | |
| AdvanSix | Parsippany, New Jersey, USA | |
| Versalis | Milan, Italy | |
| Haldia Petrochemicals | Haldia, West Bengal, India | Haldia, West Bengal, India |
| Deepak Nitrite | Mumbai, India | |
| Solvay | Brussels, Belgium | |
| Olin | Clayton, Missouri, USA | Freeport, Texas, USA |
| Chang Chun Plastics | Taoyuan, Taiwan | |
| Shengquan Group | Jinan, Shandong, China | |
| Bayer | Leverkusen, Germany | |
| Sasol | Johannesburg, South Africa |
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