According to the data monitored by the Business News Agency, on March 31, the domestic carbon black N220 was quoted at 11600 yuan/ton. This month, the domestic carbon black market price fell first and then rose, and the current volatility is relatively strong.

Cost: The overall operation of the domestic high-temperature coal tar market was weak this month. At the end of the month, the decline in the domestic high-temperature coal tar new auction price slowed down. The decline in mainstream regions was basically within 100 yuan, and some low-end prices even warmed. This month, carbon black cost support is weak, and downstream deep processing and carbon black enterprises are still operating at a loss. The market is affected by buying up and not buying down. Downstream enterprises are cautious in signing new orders, and the transaction atmosphere is light. The downstream market continues to hold down prices, and there is a lot of negative sentiment in the market. It is expected that the coal tar market will continue to operate in a weak manner in the short term.

Supply and demand side: Currently, the operating rate of carbon black enterprises remains stable as a whole, and some factories and devices are undergoing maintenance. Due to the weak price of raw materials, downstream enterprises are mostly bullish on the aftermarket of carbon black, resulting in weak supply and demand in the carbon black market.

In terms of downstream tire companies, the overall operating rate has maintained good, but affected by the continuous decline in carbon black prices, companies have a strong bearish atmosphere towards the carbon black market, slow shipments, strong market price depression, and moderate enthusiasm for taking goods. It is reported that some tire companies have production reduction plans in April, and the negotiation of tire orders in April is expected to be relatively stagnant. Other customers in the rubber product industry are still in a wait-and-see mood, and there is still a resistance to the current carbon black price, mainly due to the need for procurement.

Overall, the price of raw materials has continued to decline significantly, and the support for carbon black prices has weakened. Although major downstream tire companies have started construction well, they are bearish on the carbon black market, with strong market pressure sentiment. It is comprehensively expected that carbon black will operate steadily, moderately, and weakly in the short term.