SunSirs--China Commodity Data Group

Sign In

Join Now

Contact Us

Home > MTBE News > News Detail
MTBE News
SunSirs: China MTBE Market Shock Sorting
December 12 2022 09:32:33SunSirs(Selena)

According to the monitoring of SunSirs, the domestic MTBE market has been volatile and sorted out. The recent trend of crude oil is unstable, and there is still downward pressure next week, which has a negative impact on bulk commodities. In addition, the recent trend of gasoline is difficult to improve, and the downstream demand for raw material MTBE is limited. From December 2 to 9, the MTBE price fell from 6,850 RMB/ton to 6,750 RMB/ton, with a decline of 1.09% during the cycle. The price fell 6.16% month on month and 12.35% year on year.

On the cost side, the international crude oil price fell to the lowest level in the year. As of December 7, the settlement price of the main contract of the WTI crude oil futures in the United States was 72.01 dollars/barrel, and the settlement price of the main contract of Brent crude oil futures was 77.17 dollars/barrel. Due to the performance of some US economic data exceeding expectations, the possibility of the Federal Reserve's radical interest rate hike still exists, which suppresses the benefits of OPEC+ production reduction and Western sanctions against Russia. The unexpected growth of the US ISM non manufacturing index in November, released on Monday, reflects that the economy is still resilient. The continued economic boom has triggered market concerns about the Federal Reserve's transition from "dove" to "eagle", which may disappoint the Federal Reserve's desire to slow interest rate hikes. The market provided the basis for the Federal Reserve to curb inflation and maintain the monetary tightening path, which affected the crude oil market to decline significantly. The overall global economy is weak, the prospect of energy demand is still not optimistic, and the economic weakness depresses oil prices. On the whole, the price of crude oil dropped sharply, and the affected market of MTBE products in the domestic oil industry chain declined.

On the demand side, in the near future, the operating rate of domestic main refineries has maintained, the supply of resources of main refineries is relatively abundant, the pressure on refinery shipments remains, and the gasoline price continues to fall. The average operating load of atmospheric and vacuum distillation units in refineries in Shandong Province remained about 60%, the manufacturer's inventory remained unchanged, and the supply of gasoline and diesel was loose. Therefore, the operators' intention to enter the market was reduced, and the market buying and selling atmosphere was light. The demand for MTBE as an additive for gasoline and diesel is mainly negative.

In terms of enterprises, Shandong Chengtai New Material MTBE plant is shut down, and the quotation is 7,200 RMB/ton. Shi Dashenghua lowered MTBE by 50 RMB/ton, and offered 6,750 RMB/ton. Shandong Shenchi Chemical Co., Ltd. lowered the MTBE quotation by 50 RMB/ton for the second time to 6,700 RMB/ton. Lihua Yilijin Petrochemical lowered MTBE by 50 RMB/ton, and offered 6,750 RMB/ton. Dongming Qianhai Chemical lowered its MTBE quotation by 50 RMB/ton to 6,900 RMB/ton.

In terms of external market, as of the closing of December 8, the closing price of the Asian MTBE market had dropped by 16.00 dollars/ton compared with the previous trading day, and FOB Singapore closed at 805.99-807.99 dollars/ton. The closing price of the European MTBE market decreased by 37.00 dollars/ton compared with the previous trading day, and FOB ARA closed at 946.49-946.99 dollars/ton. The closing price of the MTBE market in the United States decreased by 9.98 dollars/ton compared with the previous trading day, and the FOB Gulf price closed at 819.47-819.83 dollars/ton (230.84-230.94 cents/gallon).

It is predicted that the start-up load of some enterprises will be lowered. Meanwhile, with the relaxation of prevention and control measures, downstream demand will increase. SunSirs MTBE analysts believe that China domestic MTBE market may rise in the short term.

 

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

Exchange Rate:

8 Industries
Energy
Chemical
Rubber & Plastics
Textile
Non-ferrous Metals
Steel
Building Materials
Agricultural & Sideline Products