Chemical (OX) 2016 December oxylene prices downward trend, OX month average price of 7225 yuan / ton, compared with the first month price 7655 yuan / ton fell 5.62%, rose 46.11%.

Market analysis:

Products: decline in December the domestic market price trend of o-xylene, dragon aromatic device is still in repair, Luoyang Petrochemical overhaul, Jinling Petrochemical equipment normal operation operation, normal operation of Zhenhai Refinery device, Yangzi petrochemical equipment normal, domestic market operating rate of benzene into more than 4, the phthalate on spot supply is adequate, benzene market prices fell sharply. As the mainstream of o-xylene negotiations at the end of the market in East China fell to 7800-7900 yuan / ton, the port inventory in East China by the end of last less than 20 thousand tons, the abundant phthalate phthalate turnover scarce, market prices decline.

The industrial chain: December crude oil prices rose sharply, as of the end of WTI for $53.77 a barrel, the recent crude oil prices, downstream petrochemical products have a certain cost, but the phthalate market due to the abundant supply of goods to go bad market price decline. December domestic phthalic anhydride market prices sharply lower, as of the end of phthalic anhydride price of 7833.33 yuan / ton, a decline of 9.06%, the domestic market operating rate of 4 phthalic anhydride, phthalic anhydride market prices fell sharply in December, plasticizer industry prices fell to a certain market upstream phthalate phthalate bad, the market price decline.

Industry: recent plasticizer industry downturn in December, the business turnover is limited, the market price decline Fu phthalate.

Market forecast:

Recently the phthalic anhydride market prices fell, and the oil market prices rangebound, is expected in January the phthalate market price or will continue to fall, the price of 7000 yuan / ton.

chemical industry at present, the United States WTI February crude oil futures on Wednesday (December 28th) closed up $0.16, or 0.30%, at $54.06 / barrel. February Brent crude futures Wednesday closed up $0.13, or 0.23%, at $56.22 / barrel. A quiet holiday market prices rose slightly, maintained since mid 2015 highs near the market, and the organization of Petroleum Exporting Countries (OPEC) in January 1, 2017 to launch production cuts.

In December 29th, the Guangdong area was the light of market transactions, toluene reference price 5600-5650 yuan / ton down (Sha Tin tank), buying Guadan trading market downturn. A toluene Market in Jiangsu area, to discuss the toluene 5520-5520 yuan / ton (Zhangjiagang tank), the industry market enthusiasm is not high, light trading. Beijing and Tianjin toluene to discuss the market average, the toluene to discuss the market 5450-5500 yuan / ton, the downstream business inquiry, the real single volume light. In Shandong to discuss the market of toluene light, toluene about 5800 yuan / ton, multi port fluctuations, downstream businesses operating enthusiasm is low, the real single talks guadan. Qingdao Lidong aromatics plant running smoothly, toluene price down 50 yuan at 5700 yuan / ton. The price of us toluene market rose 1 cents a gallon, FOB US Gulf price 235.95-236.05 cents / gallon.

Near the New Year holiday, middlemen and terminal downstream market enthusiasm, the supply is relatively abundant, no actual transaction support, and the downstream oil market demand up sluggish, buying downturn, intraday narrow down. Business agency analysts believe that short-term market consolidation will be a stalemate of toluene.

Abstract: the balance of supply and demand situation in 2017 the domestic methanol market will be in the East China market as the center, and the main consideration of balance between the new incremental import in the East China region new mining an important source of olefin demand and supply. Under this line, we in 2017 overall anticipation is the supply and demand of methanol methanol or the existence of the time difference, after the first strong weak. See details []

Local trends

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The alcohol market supply situation will continue to rise the price of methanol is expected to surge

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The article by Gade chemical network editing, reproduced please indicate the source.

Abstract: Recently, the listed companies Chitianhua announced yesterday, is expected 2016 loss of 300 million to 360 million yuan. Notice that, in 2016 the company chemical business by the main raw materials (coal) the dual impact of rising costs and urea, methanol prices continued to slump, operating profit decreased significantly. At the same time, the company intends to make provision for impairment of gas head urea production device and its related assets involved. See details []

The integration of automotive battery industry coming high quality battery capacity is not excessive

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In 2017 the supply and demand of the existence of the time difference of methanol, methanol or after the first strong weak

“This year the overall profitability of the coal chemical industry is also good, although prices have great impact on the cost of coal chemical products, but prices also rose sharply.” LUZHENG futures researcher Pu Chengzhu said. A central China coal chemical industry sources told reporters that this year the domestic coal chemical industry operating situation is generally optimistic, but except for fertilizer production.

“Domestic urea industry overall overcapacity, prices continue to decline, some of the old urea enterprises because of technical problems, the production cost is relatively high, more serious loss. However, this year the urea market better than last year.” Pu Chengzhu said.

The other coal chemical products of methanol has become the focus of the market. “After entering the fourth quarter, the domestic methanol market continued good news, methanol imports to Hong Kong to fall, demand continued stable olefin. Changzhou food and Jiangsu sailboat two sets of olefin plant put into operation before the demand, the overall market is facing low inventory, supply shortage situation.” CITIC futures researcher Shen Liping told the methanol futures Daily reporter said commodities rose collective devaluation, increased transportation costs and crude oil prices strong, are constantly pushing up the price of methanol.

It is worth noting that, in December 23rd, the Tariff Commission of the State Council issued the “notice” on the 2017 tariff adjustment plan, decided to cancel the export tariffs on fertilizer and fertilizer, and appropriate to reduce the three yuan fertilizer export tariffs. The industry believes that in 2016 China’s exports of urea fell to the freezing point in recent years, the abolition of tariffs for domestic market and export bring some support, but in the long run, it is difficult to change the overcapacity and loss of business situation.

In this regard, the industry calls for improvement of coal chemical industry to accelerate the urea futures, futures market, to help companies use futures tools service production and operation. As the energy and chemical species, if urea and methanol futures listed, among other varieties will have more opportunities for arbitrage.