Release time: 2024-06-21 14:00 Source: Longzhong Information Editor: Lv Min
Introduction: The price of raw material n-butanol has continued to rise recently, with the product rising by 225 yuan/ton, an increase of 2.52%, while the market price of DBP has remained basically stable, with the price in Henan Province falling by 0.53%. Driven by costs, the market is weak in following the rise, and a series of problems in the product market have emerged.
As can be seen from the figure, the cost of DBP has risen sharply recently, while the trend of DBP is relatively gentle. As for raw materials, n-butanol has shown a significant upward trend, while phthalic anhydride has been moderately consolidated. The price of DBP products is significantly lower than the upward trend of n-butanol prices and the upward trend of costs.
Data source: Longzhong Information
Slow growth, mainly due to demand constraints
DBP entered June, the traditional off-season of the market arrived. The weather was hot, some downstream industries reduced production and stopped work, and the overall market demand declined. Under the influence of the decline of rigid demand , market transactions remained low and the volume shrank. After the factory quotations rose, the resistance to downstream orders increased, transactions were restricted, and the mainstream market prices were weak. The traditional off-season continued recently, and it was difficult for market demand to show a significant improvement. It continued to form a clear constraint on high prices.
Profits are inverted
Recently, DBP profit has been squeezed, with profits in Shandong falling to 20-70 yuan/ton, and profits in Henan falling to -200 yuan/ ton to -150 yuan/ton. The main production area of Henan has seen profit inversion.
Data source: Longzhong Information
Supply under pressure in the near term
The equipment that was previously overhauled has been gradually restored recently, and is currently operating at around 72%. However, due to limited demand, poor shipments, and low profits, factories are not very enthusiastic about starting operations. It is expected that the overall start-up of the equipment will still be under pressure in the near future. The load is expected to run weakly next week.
Data source: Longzhong Information
Summarize
In the short term, DBP demand is running at a low level, the supply side is under pressure, and the supply and demand continue to shrink. The operating pressure of factories is increasing, and middlemen are still cautious and wait-and-see. Affected by the high price of raw material n-butanol, the overall market mentality is cautious, and it is expected that the DBP market price will fluctuate and be under pressure in the short term.
