SunSirs: BR Market Prices Rose Slightly This Week

　　1.Price Trend

　　According to the data monitoring of SunSirs, this week (8.26-8.30) domestic BR prices rose slightly, the price at the beginning of the week was RMB 10775/ton, and the weekend price was RMB 11075/ton, an overall increase of 2.78%.

　　2.Cause analysis

　　Petrochemical ex-factory price: This week (8.26-8.30) domestic BR petrochemical factory ex-factory price increased by RMB 200/ton, as of August 30, Daqing Petrochemical cis-butadiene rubber ex-factory price increased by RMB 10900/ton.

　　Rubber import and export: According to data released by the General Administration of Customs, China imported 553,000 tons of natural and synthetic rubber (including latex) in July, an increase of 25.30% over the previous month.

　　Raw materials: raw material butadiene prices rose slightly this week, the cost of BR support. According to the business association monitoring, butadiene at the beginning of the week was RMB 10043/ton, and at the end of the week was RMB 10217/ton, up 1.73 percent on the whole.

　　Supply: According to statistics, China's synthetic rubber output in July was 590,000 tons, an increase of 6.1% over the same period last year. From January to July, the total output was 3.988 million tons, up 9.6% year on year.

　　Demand: In July 2019, the domestic rubber tyre tyre output was 73.521 million, an increase of 4.61%, a decline of 1.90.2% compared with the previous year; in January-July, the domestic rubber tyre tyre output was 51.532 million, an increase of 2.7% compared with the previous year.

　　3.Future Market Forecast

　　An analyst in SunSirs, believes that at present, on the one hand, the rising price of butadiene, the upstream raw material, supports the price of BR, and on the other hand, the tire production in the downstream rubber market increases annually, so the demand for BR is relatively stable. Later, the market of cis-butadiene rubber may rise slightly.