SunSirs: Building Material, Cement Price Rises in East China in Peak Season

According to the monitoring of SunSirs, previously, the cement delivery rate is high, the initial inventory digestion is ideal, the cement market demand is further rising, and the cement price continues to rise. On May 6, the cement price in East China was 469.40 RMB/ ton, and on May 14, it was 474.80 RMB/ ton, an increase of 1.15%. The current price fell 1.98% year on year.

Market Analysis

Products:

Since May, the demand for cement and concrete in some provinces gradually improve, and the cement price continues to rise.

In terms of regions, in Jiangsu Province, the factory's delivery is frequent. On May 8-9, major enterprises in Suzhou, Changzhou and other regions in Jiangsu Province notified that the price of landmark cement was increased by 20-30 RMB/ ton. On May 11, major enterprises in Nantong, Yangzhou, Taizhou and other regions in Jiangsu Province notified the price of cement to be increased by 20 RMB/ ton.

In Anhui Province, the market demand is good. On May 10, some grinding enterprises in Hefei, Anhui Province notified that the price of low standard cement was increased by 20 RMB/ ton.

In Shandong Province, the market demand improveS. From May 7 to 9, the main enterprises in Jining region of Shandong Province notified the price of high-grade cement to be increased by 30 RMB/ ton.

In Shanghai, driven by the rise of cement prices in the surrounding Jiangsu and Zhejiang regions, on May 2, some enterprises in Shanghai notified that the price of high-grade cement was increased by 20 RMB/ ton.

In May, all regions are speeding up the construction of major projects, and the cement inventory was basically digested. In the near future, the cement demand is improving, the delivery rate of cement enterprises is increasing, the cement inventory is declining rapidly, and the cement price continues to rise.

Industry chain: upstream: the price of domestic coke market is temporarily stable in the near future. At present, the inventory of coking enterprises is relatively low, the environmental protection pressure is relatively small in the near future, the operating rate is slightly higher than that in the early stage, the coke output is stable, the downstream demand is relatively stable, and most of them are purchased on demand. The recovery of Expressway charging will support the cost of coke market to some extent, but the whole industrial chain is in a relatively balanced state at present, so we should pay attention to the stock situation of steel mills in the future. Downstream: from January to March, the national real estate development investment was 2,196.3 billion RMB, down 7.7% year-on-year, 8.6% lower than that from January to February.

Market Forecast

According to the prediction of SunSirs, the cement market in East China has continued to rise in the near future. The cement peak season has come in May. With the commencement of infrastructure projects, the inventory continues to decrease, and the cement demand further rises. Therefore, the cement product analysts of the business club believe that in a short time, the cement market is dominated by consolidation.

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