SunSirs: Minor Consolidation of China NBR Market Situation

Recently (12.18-12.28), the market situation of NBR has slightly improved. According to the Commodity Market Analysis System of SunSirs, as of December 28th, the price of NBR was 14,475 RMB/ton, an increase of 0.35% from 14,425 RMB/ton on December 18th, and the low point during the cycle was 14,300 RMB/ton. The price of raw material butadiene has significantly increased, while the price of acrylonitrile has narrowed, leading to an increase in the cost center of NBR; The downstream gradually enters the low season in winter, with low inquiries and low market transactions. The market price of NBR has slightly increased in the short term due to the expected reduction in butadiene production. As of December 28th, the mainstream market price of Lanhua Nitrile 3305 in East China is 14,000-14,200 RMB/ton; Shunze nitrile 3355 mainstream reported 14,100-14,300 RMB/ton; Nandi Nitrile 1052 is priced at 16,000-16,200 RMB/ton.

Recently (12.18-12.28), the price of raw material butadiene has significantly increased, while the price of acrylonitrile has weakened, resulting in a slight increase in the cost center of NBR. According to the Commodity Market Analysis System of SunSirs, as of December 28th, the price of butadiene was 8,575 RMB/ton, an increase of 6.41% from 8,058 RMB/ton on December 18th; As of December 28th, the price of acrylonitrile was 9,812 RMB/ton, a decrease of 0.51% from 9,862 RMB/ton on December 18th.

The production of downstream NBR hoses in China has remained stable at a low level of around 5.9%, while the production of rubber insulation foam has been around 6.3%. Be cautious about inquiries about NBR, with a slightly stagnant trading atmosphere on the exchange, resulting in a weakening of the NBR market.

SunSirs nitrile analysts believe that currently, NBR plants are operating normally with relatively sufficient supply and weak downstream inquiries. However, due to the impact of rising raw material prices, the cost of NBR has some support. Overall, it is expected that the NBR market will experience a narrow consolidation in the short term.

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