Difluoromethane (R32) — Prices Breach 65,500 RMB/ton as Baseline Period Ends, Quota Constraints and Cooling Season Tightening Combine for 3.5x Price Run

The difluoromethane (R32, HFC-32) market has experienced a dramatic price escalation in 2026, as the baseline period for hydrofluorocarbon (HFC) refrigerants draws to a close and supply Constraints collide with growing demand from the air conditioning and heat pump sectors.

Price Surge Confirmed. As of April 30, 2026, mainstream R32 transaction prices had reached 65,500–66,000 RMB per ton, with second-quarter long-term contract prices settling at approximately 62,200 RMB per ton. This represents a cumulative increase of more than 3.5× from pre-baseline levels. Throughout the week of April 21–27, the market maintained high-level stability with narrow range consolidation and a trading center of gravity around 64,000 RMB per ton.

Production Quota Constraints. 2026 marks the final year of the HFC baseline period under the Kigali Amendment to the Montreal Protocol. R32 production quotas have been capped with virtually NO room for incremental increases—year-on-year expansion has been limited to less than 1 percent. Leading producers, where quotas are concentrated, have voluntarily reduced operating rates to approximately 60 percent from previous levels of around 80 percent, actively limiting output to support higher prices.

Supply Chain Tightness. Inventories across the supply chain have reached historical lows. Both manufacturer and distributor stocks are depleted, with available supply concentrated among a handful of large producers. Spot market availability has become severely limited, and traders report difficulty securing new supply.

Raw Material Cost Support. Upstream cost pressures have intensified. Anhydrous hydrofluoric acid prices reached approximately 13,500–13,700 RMB per ton in April, representing a year-on-year increase of approximately 20 percent, directly raising R32 production costs. Environmental compliance costs—including energy consumption controls, carbon taxes, and safety investments—have further elevated the cost floor for R32 production.

Demand Drivers. Peak air conditioning season has triggered early restocking in both domestic and export markets. India and the Middle East also face 2026 as their baseline period final year, driving pre-emptive procurement to secure future HFC quotas. Emerging demand from heat pumps and data centers continues to add incremental consumption volume.

Outlook. With production quotas locked for the baseline period and no additional capacity expected, the R32 supply-demand balance is likely to remain tight through the remainder of 2026. End users seeking “R32 refrigerant price per ton” or “difluoromethane for AC applications” should plan procurement accordingly.

Sources: Fluorine Chemicals Network, May 2026; HVACR News Network Price Reporting, April 2026