In mid March, the domestic ABS market continued to maintain a strong trend, and spot prices of various brands continued to rise. According to the Commodity Market Analysis System of SunSirs, as of March 18th, the average price of ABS sample products was 12,162.50 RMB/ton, with a price increase or decrease of +3.18% compared to the beginning of the month.
In terms of supply: Recently, the domestic ABS industry has taken on the pattern of pre holiday load reduction and adjustment, and the current operating rate is not high. In addition, the Jieyang unit of China National Petroleum Corporation has entered maintenance, further reducing the industry device load to around 60%. The operating rate of ABS aggregation enterprises is not high, and the market supply pattern remains tight. Last week, the inventory of production enterprises flattened, and overall, the supply side's support for spot goods is still acceptable.
In terms of raw materials: In mid March, the overall trend of ABS upstream three materials was high, with a narrow range of consolidation in the acrylonitrile market. The price of raw material propylene has slightly decreased, and the cost support for acrylonitrile has weakened; Downstream products only maintain essential support for acrylonitrile; The supply side of the acrylonitrile unit is generally loose. Overall, the acrylonitrile market lacks bullish momentum in the short term, and the market may remain stagnant and consolidate.
Recently, the domestic butadiene market has experienced slight fluctuations and consolidation, showing an overall trend of first falling and then rising. The inverted profit situation of the main downstream products has led to poor downstream inquiry intention, and there is certain suppression of demand in the face of the market. However, there is price support for the domestic market in the external market, coupled with the support of downstream hard demand stocking over the weekend, some bidding sources have increased their prices and completed transactions, which has boosted the market slightly. It is expected that the future market will rise weakly and consolidation will be the main trend.
Recently, the market price of styrene has risen at a high level. The price of raw material pure benzene remains unchanged due to the rise of crude oil, while the cost support for styrene remains stable and strong. Downstream enterprises are in urgent need of follow-up, while the supply pattern is gradually tightening, resulting in a decrease in on-site inventory. It is expected that the styrene market will continue to fluctuate and strengthen in the short term.
In terms of demand: As we enter mid March, the stocking enthusiasm of downstream factories of ABS's main terminals has recovered well, with a particularly significant increase in production scheduling in the home appliance industry. The overall load of factories on the demand side has increased, leading to an increase in demand purchases. Although there is some resistance towards the supply of goods after price increases, the overall consumption of ABS is high. At present, traders are actively trying to report high prices, spot trading has improved, and the demand side can still provide support for the market.
Recently, the overall performance of the upstream three materials of ABS has remained stable, moderate, and strong, maintaining support for the cost side of ABS. Petrochemical plant operations continue to decrease, and supply pressure has significantly eased. On the demand side, due to downstream enterprises resuming work and increasing production schedules, ABS consumption has increased. Merchants are attempting to offer higher prices, resulting in strong market momentum. The current ABS fundamentals are generally bullish, and the ABS market may continue to rise in the short term in the future.
If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.