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SunSirs: Supply Pressure Rises, China PC Market Fluctuates and Consolidates
April 24 2024 10:39:10SunSirs(Selena)

According to the bulk list data from SunSirs, the domestic PC market has been consolidating and operating recently, with spot prices of various brands fluctuating. As of April 22nd, the benchmark price for the mixed PC of SunSirs was around 16,216.67 RMB/ton, with an increase or decrease of 0.52% compared to the beginning of the month.

In terms of raw materials: From the above chart, it can be seen that the price of bisphenol A decreased last week. Affected by the high level operation of international crude oil in the early stage, acetone and phenol still maintain a relatively strong operation. However, the consumption aspect is relatively lagging, with fewer new orders, dragging down the spot market. Overall, there is a tug of war between the cost side and the demand side, and the support for PC spot sales is mediocre.

In terms of supply: Last week, the overall operating rate of domestic PC saw a narrow increase, with an industry average operating rate of around 78%. In the early stage, Zhejiang Petrochemical's maintenance has gradually resumed, but recently there have also been some new production units and slight resumption of work causing an increase in supply. The on-site supply of goods is abundant, and the support for PC supply has weakened.

In terms of demand: Recently, PC consumption has taken on the previous weak pattern, with the main logic leaning towards maintaining production and digesting inventory for just needs. Downstream enterprises have poor stocking enthusiasm and weak demand. Buyers have some resistance to high priced sources, and the demand side has poor support for spot prices.

Last week, the PC market fluctuated and consolidated. Upstream bisphenol A experienced a narrow decline, which has a moderate impact on PC costs. The load variation of domestic polymerization plants is limited. The consumption on the demand side lags behind, and the trading volume is cold and sparse. It is expected that the PC market in the future will be constrained by supply and demand contradictions, and prices may turn weak and consolidate.


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