According to the data monitoring of SunSirs, as of December 31, the price of SBR was 11,458.33 RMB/ ton, down 5.43% from 12,116.673 RMB/ ton at the beginning of the month. The commodity index of SBR on December 31 was 36.90, down 64.38% from the highest point of 103.60 in the cycle (2011-09-08), and up 45.79% from the lowest point of 25.31 on April 7, 2020. (Note: period refers to the period from September 1, 2011 to now)

After rising in October and November, SBR rose and fell in December. On one hand, the demand for SBR was weakening, which was unfavorable for SBR to continue to rise. Since December, local environmental protection and power rationing requirements have become more stringent, and the operating rates of downstream synthetic rubber tire factories and rubber products factories have declined as a whole. According to SunSirs, the operating rates of semi steel tire manufacturers and all steel tire manufacturers were 50-60% and 60% respectively at the end of December, with a significant decrease compared with November. Demand side dragged SBR market.

SBR production was basically stable, and the supply side inventory changeed little. It was understood that the business of Yangzi Styrene Butadiene Rubber Co., Ltd. and Fushun Styrene Butadiene Rubber Co., Ltd. was still in normal operation in December, compared with that of Jilin Styrene Butadiene Rubber Co., Ltd. and Fushun Styrene Butadiene Rubber Co., Ltd.

The prices of butadiene and styrene dropped sharply, and the cost of SBR was dragged. According to the monitoring of SunSirs, the price of butadiene at the beginning of the month was 9,926 RMB/ ton, and the price at the end of the month was 7,751 RMB/ ton, with an overall decrease of 21.91%; the price of styrene at the beginning of the month was 8,450 RMB/ ton, and the price at the end of the month was 6,066 RMB/ ton, with an overall decrease of 28.21%.

SunSirs analysts believe that at present, the prices of raw materials butadiene and styrene have fallen sharply, forming a certain drag on styrene butadiene rubber. In addition to the lower downstream construction, SBR market will continue to weaken in the later stage.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.