According to the monitoring of SunSirs, the overall glass price of last week increased slightly, with an average price of 18.98 RMB/m2 at the beginning of the week and 19.23 RMB/m2 at the weekend. The price of glass increased 1.32% within the week.

Market Analysis

Glass prices went up last week. The inventory pressure of manufacturers in North China and East China is small, and the products in foreign port areas were slightly reduced due to the influence of road transportation and waterway transportation. The overall trend of glass spot market in South China and central China was fair. The ex-warehouse situation of manufacturers maintained the previous level, and the quotation of manufacturers rose. The trend of glass in Southwest China was fair, and the market confidence of production enterprises was good, and the quotation rose slightly. The trend of glass in Northwest and Northeast China was general.

In terms of capacity, according to the data of SunSirs, the utilization rate of glass production capacity on July 17, 2020 was 69.03%; it increased by 0.77% month on month compared with last week and -0.39% year-on-year; after excluding excess capacity, the glass capacity utilization rate was 81.94%, up 0.89% month on month, and -0.96% year-on-year. The glass production capacity was 940.62 million heavy boxes, an increase of 12.6 million heavy boxes compared with last week, and an increase of 14.22 million heavy boxes compared with last year. On July 17, 2020, the industry's inventory was 47.93 million heavy boxes, an increase of -720,000 heavy boxes compared with last week, and an increase of 7.02 million heavy boxes compared with last year. The number of weekend inventory days was 18.60 days, with an increase of -0.54 days compared with last week and a year-on-year increase of 2.48 days.

According to the data released by the National Bureau of statistics, the output of flat glass in June was 79.16 million heavy boxes, with a year-on-year increase of -3.9%; from January to June, the cumulative output of flat glass was 461,840,000 heavy boxes, with a year-on-year increase of -0.4%.

In the aspect of raw material soda ash, the market of soda ash in North China has been consolidated. The mainstream market price of light soda ash is about 1,250-1,350 RMB/ ton, and that of heavy soda ash is 1,350-1,450 RMB/ ton. The inventory pressure is high, and the active shipment is the main reason. The market transaction is not so good. It is expected that the price of soda ash will be weak and stable in the short term. The market of soda ash in East China is stable. The mainstream market price of light soda ash is about 1,100-1,250 RMB/ ton, and that of heavy soda ash is 1,200-1,350 RMB/ ton. The market atmosphere is light. It is expected that the price of soda ash will be weak in the short term. The market of soda ash in Central China is weak. The current mainstream market price of light soda ash is about 1,000-1,100 RMB/ ton, while that of heavy soda ash is 1,100-1,200 RMB/ ton. The market atmosphere is light, the enterprise inventory is high, and active shipment is the main trend. It is expected that the price of soda ash will consolidate the market operation in the short term.

Market Forecast

According to SunSirs, glass prices continued to rise last week. The production enterprises kept a good expectation of the market demand in the traditional sales peak season. In the short term, the production enterprise inventory pressure is not big, the traditional peak season is coming, and the glass price is mainly adjusted up.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.