Monthly Archives: September 2023

The support of the industrial chain has fallen, and the price of ortho xylene has stabilized after rising this week

The price of ortho xylene stabilized after rising this week

 

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According to the Commodity Market Analysis System of Business Society, as of September 22, the price of ortho xylene was 9200 yuan/ton, an increase of 200 yuan/ton or 2.22% compared to the price of ortho xylene on September 15, which was 9000 yuan/ton. The price of mixed xylene increased first and then decreased, while the cost of adjacent xylene decreased; The downstream market for phthalic anhydride rose first and then fell, with a decrease in demand for ortho benzene and a decrease in cost support. Downstream demand fell, and ortho xylene prices rose this week.

 

This week’s raw material mixed xylene market rose first and then fell

 

According to the market analysis system of mixed xylene products in the Business Society, as of September 22, the price of mixed xylene was 8660 yuan/ton, a decrease of 0.12% compared to the price of mixed xylene on September 15, which was 8670 yuan/ton. The high price of crude oil has fallen, while the price of mixed xylene has first increased and then decreased. The cost of raw materials has decreased, and the support for the rise of adjacent xylene market has weakened.

 

Downstream phthalic anhydride market rose first and then fell

 

PVA 1799 (PVA BF17)

According to the analysis system of the market for phthalic anhydride products in the Business Society, as of September 22, the quotation for ortho phthalic anhydride was 8787.50 yuan/ton, an increase of 0.14% compared to the price of 8775 yuan/ton on September 15. Some companies in the phthalic anhydride industry have restarted, resulting in an increase in the supply of phthalic anhydride and a decrease in the price of phthalic anhydride; Plasticizer enterprises have started operations at a low level, and downstream procurement enthusiasm is poor. The demand for phthalic anhydride is weak, and there is a significant resistance to high priced phthalic anhydride. This week, the rise and fall of phthalic anhydride have been halted.

 

Future prospects

 

Analysts from Business Society’s neighboring xylene data believe that in terms of raw materials, crude oil prices have fallen from high levels, mixed xylene prices have first increased and then decreased, and the cost of neighboring xylene raw materials has decreased; In terms of demand, plasticizer companies are operating at a low level, with weak demand for phthalic anhydride and insufficient support for ortho benzene demand. Overall, the market of the ortho benzene industry chain has declined, and the cost support for ortho benzene has weakened. Demand is still weak, and it is expected that the price of ortho benzene will fluctuate and stabilize in the future.

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The market situation of epichlorohydrin is mainly stable (9.18-9.21)

According to the Commodity Market Analysis System of the Business Society, as of September 21, the average quoted price of epichlorohydrin enterprises was 8375.00 yuan/ton, which is unchanged from Monday’s price and a decrease of 25.67% compared to the same period last year.

 

PVA 1799 (PVA BF17)

This week, the market for epichlorohydrin is mainly stable. Recently, the price of raw material glycerol has dropped, and the market for raw material propylene has been weak and stable. The cost support is average, and the industry’s capacity utilization rate is below 50%. There is no pressure on supply side inventory, supporting manufacturers’ price mentality. After downstream restocking, small orders mainly need to be followed up at an appropriate price. Market trading is cautious and wait-and-see. On the 21st, the mainstream negotiations in the Shandong epichlorohydrin market were around 8300-8500 yuan/ton.

 

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Upstream propylene, according to the Commodity Market Analysis System of Business Society, the reference price for propylene on September 20th was 7313.25, an increase of 2.81% compared to September 1st (7113.25).

 

Downstream epoxy resin, according to the Commodity Market Analysis System of the Business Society, the reference price for epoxy resin on September 20th was 15466.67, an increase of 6.91% compared to September 1st (14466.67).

 

Analysts from Business Society believe that there is still supply side support, and the demand side is average. It is expected that the epichlorohydrin market may remain stable in the short term, and more attention still needs to be paid to changes in the supply and demand side of the market.

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Small upward trend in the market of butadiene rubber

Recently (from September 11th to September 19th), the spot market for butadiene rubber has slightly increased, with the increase narrowing compared to early September. According to the Commodity Market Analysis System of Business Society, as of September 19th, the market price of butadiene rubber in East China was 13840 yuan/ton, an increase of 2.06% from last Monday’s 13560 yuan/ton.

 

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Firstly, the price of raw material butadiene continues to rise, with strong cost support for cis-1,4-polybutadiene rubber. Secondly, the recent maintenance of Sichuan Petrochemical’s butadiene rubber plant has reduced the supply of butadiene rubber. Finally, stable downstream construction requires support from the superimposed market inventory at a medium to low level. During the supply cycle of butadiene rubber, the price will continue to increase by 700 yuan/ton, and the domestic butadiene rubber market merchants’ quotations will follow the trend. As of September 19th, the mainstream prices in the domestic butadiene rubber market are 13400-14200 yuan/ton.

 

The industry’s construction started slightly lower, and supply pressure has eased.

 

Recently (September 11th to September 19th), the butadiene market has continued to rise, and the cost support for cis-1,4-polybutadiene rubber has continued to strengthen. According to the Commodity Market Analysis System of Business Society, as of September 19th, the price of butadiene was 8747 yuan/ton, an increase of 1.80% from last Monday’s 8592 yuan/ton.

 

PVA 1799 (PVA BF17)

Demand side: In early September, the tire operating rate was basically stable, with rubber as the main support. It is understood that as of mid September 2023, the operating load of all steel tires for rubber tire enterprises in Shandong region is 6.4%; The operating load of semi steel tires for domestic rubber tire enterprises is 7.2%. Stacking the upstream and merchant stocking in the early stage of the double section provides certain support for cis-1,4-polybutadiene rubber.

 

Future Forecast: Business Society analysts believe that the price of butadiene rubber raw materials is running at a high level, and there is not much supply pressure. In addition, with the support of downstream demand, it is expected that the spot market of butadiene rubber will remain at a high level in the short term.

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Electrolytic manganese market slightly rebounded (September 11th to September 18th)

According to the Commodity Market Analysis System of the Business Society, the 1 # electrolytic manganese market slightly increased this week (September 11th to September 18th). The market price in East China was 14150 yuan/ton on September 18th, up 1.43 yuan.

 

In terms of manganese ore: This week, the Tianjin Port manganese ore market has been undergoing consolidation and operation, with a slight loosening in the transaction price of semi carbonic acid. The mainstream transaction price is around 31.8 yuan/ton, while the high-speed rail quotation is firm. The mainstream quotation is 31 yuan/ton, and the oxidized ore quotation is firm. The prices in Australia, Canada, and Gabon remain at 39 yuan/ton, with little overall fluctuation. This week, the price of manganese ore in Qinzhou Port has been strong, and it is difficult to find low-priced sources of goods. The transaction price of high carbon dioxide is around 31.8 yuan/ton, while the Australian dollar is 39.3 yuan/ton, and the price of Australian seeds is around 37 yuan/ton.

 

PVA 2088 (PVA BP20)

The K-bar chart of commodity prices uses the concept of a price trend K-line to reflect weekly or monthly price fluctuations in the form of a bar chart. Investors can buy and sell investments based on the changes in the K-bar chart. Red indicates an increase; Green indicates a decline; The height of the K-bar represents the range of fluctuations. From the weekly and monthly electrolytic manganese K-bar charts above, it can be seen that prices have been declining for five consecutive months since December 2022. After a slight recovery in May, they have been declining for eight consecutive weeks since June and rising for four consecutive weeks since mid August.

 

The electrolytic manganese market continued to recover slightly this week, with mainstream market prices ranging from 12800 to 12900 yuan/ton, an increase of 200 to 300 yuan/ton compared to last week. This week, the steel bidding prices of large factories were introduced, and some companies have fallen out of line. Downstream markets are more resistant to high priced raw materials, and the market’s wait-and-see sentiment is gradually rising. This week, the upward resistance continues to increase. The market supply and demand game mentality is gradually rising, and the overall wait-and-see atmosphere is relatively strong. Recently, the downstream stainless steel market has been weak and lacks downstream support, making it difficult for prices to continue to recover. The market is mostly waiting for guidance from mid month industry meetings and is currently on the sidelines. In the future, the market tends to be wait-and-see and will remain temporarily stable in the short term.

 

This week, the silicon manganese market remained stable and strong, with the news that the fermentation had basically ended and the market was fluctuating. The spot end was not affected by it temporarily, and the manufacturer’s spot inventory was tight, basically maintaining order production. Low priced goods were scarce in the market, and steel mills had some difficulty bidding. According to the Commodity Market Analysis System of Business Society, the market price of silicon manganese in Ningxia (with a specification of FeMN68Si18) was around 6700-6800 yuan/ton on September 15th, with an average market price of 6725 yuan/ton.

 

Related data:

 

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Customs data shows that the total export volume of unwrought manganese, manganese waste and powder (electrolytic manganese) in June 2023 was approximately 24847.275 tons, an increase of 15.74% month on month and a decrease of 19.20% year on year.

 

In June 2023, the total import volume of unwrought manganese, manganese waste and powder (electrolytic manganese) was approximately 1520.011 tons, a decrease of 39.2% compared to the previous month and a year-on-year increase of 51.99%.

On September 17th, the base metal index stood at 1238 points, unchanged from yesterday, a decrease of 23.39% from the cycle’s highest point of 1616 points (2022-03-09), and an increase of 92.83% from the lowest point of 642 points on November 24, 2015. (Note: The cycle refers to the period from December 1st, 2011 to the present).

 

According to the price monitoring of the Business Society, there were a total of 12 commodities in the non-ferrous sector on the list of commodity prices rising and falling in the 37th week of 2023 (September 11th to September 15th), with the top three commodities in terms of increase being metal silicon (3.89%), silver (2.72%), and zinc (2.39%). There are a total of four products that have decreased compared to the previous month, with nickel (-1.47%), praseodymium neodymium oxide (-1.41%), and cobalt (-0.39%) being the top three products in terms of decline. This week’s average increase or decrease was 0.59%.

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Crude oil rose, crude benzene market continued to rise (September 8th to September 15th)

According to the Commodity Market Analysis System of Business Society, the auction price of crude benzene continued to rise from September 8th to September 15th, 2023, with 7388.75 yuan/ton last weekend and 7706.25 yuan/ton this weekend, a weekly increase of 4.3%.

 

PVA 2699

In terms of crude oil, international crude oil futures rose significantly on September 14th. The settlement price of the main contract for US WTI crude oil futures was $90.16 per barrel, up $1.64 or 1.9%. This year, WTI reached the $90 level for the first time, reaching a new high since November 2022. The settlement price of the main contract for Brent crude oil futures was $93.70 per barrel, an increase of $1.82 or 2.0%. The main reason is that the expectation of supply tightening has overshadowed concerns about slowing economic growth and increasing US inventory. On a macro level, recent economic data has also shown good performance, with retail sales in the United States growing 0.6% month on month in August, higher than expected growth of 0.2%. Last week, the number of initial claims for unemployment benefits increased to 220000, but lower than the expected 225000. The producer price index (PPI) of final demand in August increased by 0.7% month on month, higher than the expected 0.4% increase. The rebound in economic data indicates strong demand in the United States. In addition, China has recently introduced a series of positive measures. The People’s Bank of China announced on the 14th that it has decided to lower the reserve requirement ratio of financial institutions by 0.25 percentage points on September 15, 2023, which has also played a positive role in boosting market expectations.

 

Looking at the future, crude oil analysts from Business Society believe that both macro and fundamental factors will support oil prices in the short term. It is expected that oil prices will maintain a strong trend in the expectation of tight supply. However, as prices are currently at a relatively high level, the market should be vigilant against the correction caused by the release of bearish news

 

The factory price of Sinopec pure benzene has been raised twice in this cycle, with a cumulative increase of 450 yuan/ton during the week. Currently, it is executing at 8800 yuan/ton.

 

Other companies: Jingbo Petrochemical quoted 8900 yuan/ton, HSBC Petrochemical quoted 8800 yuan/ton, Weilian Chemical quoted 8823 yuan/ton, Xinhai Petrochemical quoted 8900 yuan/ton, and Hongrun Petrochemical quoted 8800 yuan/ton.

 

According to the Commodity Market Analysis System of Business Society, the price of pure benzene has significantly increased this week. On September 11th, the price of pure benzene was 8045 yuan/ton, and on Friday (September 15th), the price of pure benzene was 8834 yuan/ton, an increase of 13.25% compared to last week and 12.89% compared to the same period last year.

 

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The K-bar chart of commodity prices uses the concept of a price trend K-line to reflect weekly or monthly price fluctuations in the form of a bar chart. Investors can buy and sell investments based on the changes in the K-bar chart. Red indicates an increase; Green indicates a decline; The height of the K-bar represents the range of fluctuations. The weekly K-bar chart of pure benzene shows that the pure benzene market has seen a positive trend in recent times. After ten consecutive weeks of decline, it has continued to rise for six consecutive weeks, slightly falling for three consecutive weeks, and rising by 9.84% this week.

From the perspective of the industrial chain, crude oil prices continued to rise during the week, reaching a high of $90 per barrel, breaking the new high for the year. The styrene market has continued to rise, reaching a new high for the year. Under the joint influence of upstream and downstream factors, the domestic pure benzene market has continuously increased. Sinopec has raised the price of pure benzene by 450 yuan/ton during the week, and it has now reached a high of 8800 yuan/ton. Driven by the sharp rise in the industrial chain, the hydrogenation benzene market continued to rise during the week, with factory prices in the main production areas rising to a high of 8800-8900 yuan/ton.

 

This week, the pure benzene market continued to rise sharply, while the hydrogenation benzene market followed the trend significantly. Driven by the overall rise of the industrial chain, the auction price of crude benzene continued to rise this week, with the Shandong region experiencing a significant increase of 7820 yuan/ton and an increase of 370 yuan/ton. In the Shanxi region, a slight increase of 7560-7650 yuan/ton and an increase of 90-190 yuan/ton will be implemented. In terms of supply, coking enterprises have recently started construction at a relatively high level, and the supply of crude benzene is relatively stable. In terms of demand, there has been little recent change. The downstream hydrogenation benzene operating rate has slightly increased, with little impact. The overall demand is relatively stable. In terms of the future market, there are obvious positive factors. Affected by the good expectations of the Golden Nine Silver Ten and pre holiday stocking expectations, the market procurement is relatively active. It is expected that the high consolidation trend of the pure benzene industry chain in the future will be the main focus, with a focus on the downstream pre holiday stocking plan.

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Lithium carbonate prices continue to decline and may continue to decline in the short term

According to the monitoring of the Commodity Market Analysis System of Business Society, the prices of industrial grade and battery grade lithium carbonate are still in a downward trend this week. On September 14th, the average domestic mixed price of industrial grade lithium carbonate was 189000 yuan/ton, a decrease of 6.71% compared to the average price of 202600 yuan/ton on September 10th. On September 14th, the average domestic mixed price of battery grade lithium carbonate was 205000 yuan/ton, a decrease of 5.44% compared to the average price of 216800 yuan/ton on September 10th.

 

PVA 2088 (PVA BP20)

By observing market changes, it can be seen that the price of lithium carbonate continued to decline this week. In terms of supply, there has been news recently that a major factory in Qinghai Salt Lake is about to release goods, so the market supply may increase, which has put some pressure on the current spot market with sufficient goods. The market generally has incremental expectations for the subsequent circulation of lithium carbonate in the market, leading to weaker price support and a downward trend in market prices.

 

In terms of demand, the current market price of lithium carbonate is still on a downward trend, with no significant improvement on the demand side. In addition, with low downstream purchasing willingness, there is an expected increase in lithium carbonate, which has led to some downstream enterprises withdrawing their procurement demand. In an atmosphere of buying up but not falling down, the downstream market enters a wait-and-see state, mainly purchasing on demand.

 

The lithium hydroxide market is operating in a weak state. Recently, the price of spodumene concentrate has dropped, the lithium carbonate market is operating in a weak state, with poor cost support. Downstream demand is recovering slowly, and inquiries and purchases continue to be in demand. There is a strong cautious wait-and-see atmosphere, and enterprises still focus on long-term orders with limited individual transactions. The focus of negotiations in the lithium hydroxide market is weak.

 

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The stable operation of downstream lithium iron phosphate prices is the main focus, and the overall market is weak and downward. Downstream restocking is on demand, while upstream lithium carbonate is stable and weak. The cost support for lithium iron phosphate is weak, and in the short term, lithium carbonate will maintain its previous trend. Manufacturers only supply old customers with goods, and new customers will not take orders.

 

In terms of futures, on September 14th, the opening price of the LC2401 contract for lithium carbonate futures on the Guangzhou Futures Exchange was 175200 yuan/ton, with the latest price of 169150 yuan/ton, a daily decline of 4.35%, with 127500 transactions and 52682 positions.

 

Lithium carbonate analysts from Business Society believe that the current market situation of oversupply continues, and most downstream manufacturers have low purchasing intentions. In addition, with further increase in spot circulation, lithium carbonate prices may further come under pressure, and it is expected that lithium carbonate prices may maintain a downward trend in the short term.

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This week, the price of isooctanol in Shandong fell by 0.93% (9.4-9.10)

Recent price trends of isooctanol

 

PVA 2699

According to the Commodity Analysis System of the Business Society, the price of isooctanol in the Shandong region decreased slightly this week. This week, the average price of isooctanol in the mainstream market in Shandong Province dropped from 12970.00 yuan/ton at the beginning of the week to 12850.00 yuan/ton at the end of the week, a decrease of 0.93%. Weekend prices increased by 44.92% year-on-year. On September 11th, the isooctanol commodity index was 93.31, a decrease of 1.18 points from yesterday, a decrease of 32.14% from the highest point in the cycle of 137.50 points (2021-08-08), and an increase of 165.46% from the lowest point of 35.15 points on February 1st, 2016. (Note: The cycle refers to the period from September 1st, 2011 to the present)

 

Insufficient upstream support and weakened downstream demand

 

From the supply side perspective, the prices of mainstream manufacturers of isooctanol in Shandong have slightly decreased this week, with average inventory levels.

 

From the upstream raw material market of isooctanol, the propylene market has slightly declined this week, with prices dropping from 7388.25 yuan/ton at the beginning of the week to 7113.25 yuan/ton at the weekend, a decrease of 3.07%. Weekend prices fell by 2.83% year-on-year. The upstream raw material market prices have slightly declined, with insufficient cost support. Due to the impact of supply and demand, it has a negative impact on the price of isooctanol.

 

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From the downstream market of isooctanol, the DOP market price has slightly decreased this week. The price of DOP decreased from 12009.17 yuan/ton at the beginning of the week to 11775.00 yuan/ton at the weekend, a decrease of 1.95%. Weekend prices increased by 22.02% year-on-year. Downstream DOP prices have slightly declined, and downstream customers’ enthusiasm for purchasing isooctanol has weakened.

 

Future prospects

 

In mid to late September, the Shandong isooctanol market may experience slight fluctuations and declines. The upstream propylene market has slightly declined, with insufficient cost support. Downstream DOP market slightly declined, and downstream demand weakened. Business Society Isooctanol analysts believe that in the short term, the domestic isooctanol market may experience minor fluctuations and declines due to various factors such as supply and demand and raw materials.

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The industrial chain market has stopped falling and rebounded. This week, the price of ortho xylene has stabilized

The price of ortho xylene stabilized this week

 

PVA 2088 (PVA BP20)

According to the Commodity Market Analysis System of the Business Society, as of September 11th, the price of ortho xylene was 8800 yuan/ton, which has stabilized compared to the price of ortho xylene on September 1st, which was 8800 yuan/ton. The price of mixed xylene rebounded and increased, while the cost of adjacent xylene increased; The downstream market for phthalic anhydride fluctuated and rose, with demand for ortho xylene rebounding, supported by cost support and demand recovery. This week, ortho xylene prices stopped falling and stabilized.

 

This week, the market for raw material mixed xylene rebounded and rose

 

According to the market analysis system of mixed xylene products in the Business Society, as of September 11th, the price of mixed xylene was 8530 yuan/ton, an increase of 80 yuan/ton or 0.95% compared to the price of 8450 yuan/ton on September 1st. Crude oil prices fluctuate and rise, mixed xylene prices rebound and rise, and raw material costs rise, supporting the rise of adjacent xylene market.

 

Downstream phthalic anhydride market rises

 

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According to the market analysis system for phthalic anhydride products in the Business Society, as of September 11th, the quotation for ortho phthalic anhydride was 8675 yuan/ton, an increase of 1.02% compared to the price of 8587.50 yuan/ton on September 1st. The production of Naifa phthalic anhydride enterprises has declined, and the price of Naifa phthalic anhydride has fluctuated and increased. The price of naphthalene phthalic anhydride is favorable for ortho phthalic anhydride, while the production of plasticizer enterprises is low. The demand for phthalic anhydride is weak, and downstream customers have a strong resistance towards high phthalic anhydride. The price of phthalic anhydride is mainly stable, and the demand for ortho phthalic anhydride is not supported enough.

 

Future prospects

 

Analysts from the Business Society’s adjacent xylene data believe that in terms of raw materials, crude oil prices have fluctuated and risen, mixed xylene prices have rebounded and risen, and the cost of adjacent xylene raw materials has increased; In terms of demand, downstream plasticizers are operating at a low level, and demand for phthalic anhydride is weak. The price of phthalic anhydride is rising weakly, and the demand for ortho benzene is stabilizing. Overall, the market of the ortho benzene industry chain has stopped falling and rebounded, with increased support for ortho benzene costs, stable downstream demand, and weakened downward pressure on ortho benzene. It is expected that ortho benzene prices will stabilize strongly in the future.

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The market price of isopropanol rose this week (9.4-9.8)

1、 Price trend

 

PVA 1799 (PVA BF17)

According to the monitoring of the Commodity Market Analysis System of the Business Society, the market price of isopropanol has increased this week. At the beginning of the week, the average price of isopropanol in China was 7790 yuan/ton, while the average price over the weekend was 8080 yuan/ton. During the week, the price increased by 3.72%.

 

The market price of isopropanol has increased this week. At present, the market situation is relatively good. The rapid rise in upstream acetone market prices has driven up the price of isopropanol. Downstream inquiries are relatively active, and procurement is on demand. Holders follow the market, and overall, the focus of market transactions is upward. As of now, the majority of quotations for isopropanol in the Shandong region are around 7800-8000 yuan/ton; The majority of prices for isopropanol in the Jiangsu and Zhejiang regions are around 8400-8700 yuan/ton.

 

In terms of raw acetone, the upstream acetone market price has rapidly increased this week. At the beginning of the week, the average price of acetone was 6912.5 yuan/ton, while at the weekend, the average price was 7157.5 yuan/ton, with an increase of 3.54%. Factories have raised their listing prices in a concentrated manner, and the focus of market trading has been on the rise. Downstream investors are cautious in pursuing upward trends, with a focus on hard demand. It is expected that the price of acetone will be relatively strong in the short term.

 

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In terms of propylene, according to the Commodity Market Analysis System of Business Society, the domestic propylene (Shandong) market price fell this week, with an average price of 7338.25 yuan/ton at the beginning of the week and 7133.25 yuan/ton on Sunday, a weekly increase of 3.07%. Propylene analysts from the Chemical Branch of the Business Society believe that the propylene market is further declining, with poor upstream supply and inventory accumulation, leading to a continuous downward shift in transaction focus. International oil prices have risen, but support for propylene is limited, and the market has a strong wait-and-see atmosphere. It is expected that the propylene market will continue to operate weakly in the short term.

 

3、 Future Market Forecast

 

An isopropanol analyst from the Chemical Branch of the Business Society believes that the rapid rise in the market price of raw acetone has boosted confidence in the isopropanol market. On site positive support is mainly based on cost factors, supplemented by supply. Downstream wait-and-see sentiment worsens, operation is cautious, and on-demand is the main focus. It is expected that the isopropanol market will be mainly strong in the short term.

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Market recovery: Viscose staple fibers continued to rise slightly in August

In August 2023, the market of the viscose staple fiber industry chain rebounded, and prices continued to rise slightly. The factory’s order signing volume has remained stable, inventory pressure is low, and the market is experiencing a partial supply shortage. The manufacturer’s quotation has increased slightly multiple times, making prices easy to rise but difficult to fall in the short term. The start-up rate of the viscose staple fiber industry has slightly rebounded, mainly due to the increase in equipment load in Xinjiang. Currently, the overall industry load has risen to around 75%. Downstream cotton yarn has rebounded, especially with better shipments such as vortex spinning. Some foreign orders have emerged, and downstream weaving manufacturers have relatively increased their purchasing enthusiasm. Some distributors and traders have also seen a significant increase in their shipping prices, and the market is generally looking forward to the September market.

 

PVA 2088 (PVA BP20)

Viscose staple fiber price trend chart

 

According to the Commodity Market Analysis System of Business Society, in August 2023, the viscose staple fiber market showed a sustained slight strengthening trend. As of August 31, the domestic factory quotation for 1.2D * 38mm viscose staple fiber was 13080 yuan/ton, an increase of 120 yuan/ton compared to July, with a monthly increase of 0.93%.

 

In terms of cost: In August 2023, the raw material dissolving pulp market remained stable and organized, with stable prices and stable cost support for viscose staple fibers. The quotation for domestic dissolved slurry is around 7100-7200 yuan/ton. The quotation for imported broadleaf dissolved pulp is around 840 US dollars per ton, and for needle leaf dissolved pulp is around 850-860 US dollars per ton.

 

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Supply demand: Recently, there has been a slight increase in the start-up rate of the viscose staple fiber industry. As of the end of this month, the overall industry load has increased to around 75%, and there is not much inventory pressure from manufacturers. The market signing atmosphere has slightly improved, with downstream stocking performance and improved purchasing atmosphere.

 

Downstream cotton yarn market

 

Chart of the price trend of human cotton yarn

 

In August 2023, human cotton yarn showed a trend of recovery, especially with a decrease in inventory of vortex spinning and a slight increase in prices. As of August 30, the average factory price of human cotton yarn (30S, ring spinning, first-class product) was 17375 yuan/ton, an increase of 225 yuan/ton compared to the end of July, with a monthly increase of 1.31%. The operating rate of human cotton yarn has slightly rebounded to around 68.5%. Downstream weaving enterprises have slightly improved their demand for human cotton yarn, with some foreign orders appearing and downstream procurement enthusiasm relatively increasing.

 

Future Market Forecast

 

The golden nine silver ten peak season is approaching, and the inventory of the viscose staple fiber industry is currently at a medium to low level, which is expected to provide a strong impetus for the price increase of viscose staple fibers. On the demand side, both domestic and foreign clothing terminals are expected to switch to the replenishment cycle, which is expected to bring about an improvement in demand for viscose staple fibers. The industry is expected to continue to improve, and the overall market mentality is improving. The market is looking forward to the September market. Currently, the new price of Saideli has not been introduced, and there is a possibility of an increase. Analysts from Business Society predict that the focus of the viscose staple fiber and rayon yarn market will slightly increase in the short term, and the market is looking forward to a golden nine silver ten.

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