SunSirs: China SBR Market Fluctuates and Rises

Recently (1.22-1.31), the SBR market has fluctuated and risen. According to the Commodity Market Analysis System of SunSirs, as of January 31, the price of SBR in the East China market was 12,283 RMB/ton, an increase of 0.89% from 12,175 RMB/ton on January 21. On the 31st, Yibang's 100,000 ton/year butadiene styrene plant was shut down for maintenance, and the expected supply of SBR in the later period slightly decreased; Downstream tire production is stable, with some support from the demand side. The prices of raw materials styrene and butadiene have risen, supported by cost factors. At the end of the month, the factory price of some manufacturers increased by 300 RMB/ton, and some merchants also offered higher prices. According to the Commodity Market Analysis System of SunSirs, as of January 31st, the factory price of Qilu Butylbenzene 1502 from Sinopec North China Sales Company was 12,300 RMB/ton; As of the 31st, the mainstream market price of SBR in Fushun, Jihua, and Yangzi in East China is around 12,200-12,700 RMB/ton.

Recently (1.22-1.31), the prices of raw materials butadiene and styrene have risen, and the cost support for SBR has strengthened. According to the Commodity Market Analysis System of SunSirs, as of January 31st, the price of butadiene was 9,493 RMB/ton, an increase of 3.80% from 9,146 RMB/ton on January 22nd; As of January 31st, the price of styrene was 8,810 RMB/ton, an increase of 1.38% from 8,690 RMB/ton on January 22nd.

Recently (1.22-1.31), the overall construction of domestic SBR plants has remained stable. On the 31st, Yibang's 100,000 ton/year SBR plant was shut down for maintenance, and the expected supply of butadiene styrene in the later stage is expected to slightly decrease.

Demand side: Downstream tire companies have partially restarted their maintenance equipment, resulting in an increase in tire production. It is understood that as of late January 2023, the operating load of all steel tires in rubber tire enterprises in Shandong region was around 5.9%; The operating load of semi steel tires in domestic rubber tire enterprises is around 7.2%.

SunSirs analysts believe that the cost of SBR is supported, and the supply of SBR is expected to slightly decrease in the later stage. In addition, downstream tire production is still maintaining a moderate operation, and it is expected that the SBR market will fluctuate in a range in the later stage.

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