Recently (9.8-9.17), the market situation of butadiene rubber in China has been weak. According to the commodity market analysis system of SunSirs, as of September 17, the market price of butadiene rubber in East China was 11,950 RMB/ton, a decrease of 2.13% from 12,210 RMB/ton on September 8. The price of raw material butadiene has slightly decreased, and the cost support for butadiene rubber has weakened; BR production slightly decreased; Downstream tire production is basically stable, providing support for the demand for butadiene rubber, but showing resistance to high priced sources. Businesses are cautious in their operations. As of September 17th, the mainstream prices for Qilu, Daqing, Sichuan, and Yangtze Shunding in East China were 11,850-12,100 RMB/ton.

Recently (9.8-9.17), the price of butadiene has slightly decreased, and the cost support for butadiene rubber has weakened. According to the Commodity Market Analysis System of SunSirs, as of September 17th, the price of butadiene was 9,266 RMB/ton, a decrease of 1.42% from 9,400 RMB/ton on September 8th.

In recent times (9.8-9.17), the domestic Shunding plant has slightly decreased to around 7.3% in operation. Haopu Shunding plant has been shut down for maintenance, and Maoming plant has been reduced to first-line operation. Qilu and other Shunding plants have maintenance plans in the later stage, and the supply of BR is expected to tighten in the later stage.

Demand side: Recently (9.8-9.17), the overall stability of downstream tire production has provided essential support for the butadiene rubber market. As of September 11th, the construction of semi steel tires by domestic tire companies has slightly increased to around 73%; The production of all steel tires by tire companies in Shandong Province has slightly decreased to around 64%.

From a fundamental perspective, analysts from SunSirs believe that on the one hand, downstream tire production will remain stable, and some butadiene rubber units will be shut down for maintenance in the later stage, providing some support for demand and supply for butadiene rubber. On the other hand, raw material prices will decline, and downstream inquiries about high priced goods will be cautious, forming a certain negative impact on the butadiene market. Overall, it is expected that butadiene rubber may experience a slight increase after consolidation in the later stage.

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