Caprolactam market fluctuates higher

Since the second quarter of Sinochem News, the domestic caprolactam market has fluctuated and increased, and the overall price has increased by RMB 400 (ton price, the same below) from the end of the first quarter, an increase of 3.
03%
.

At present, the spot acceptance price of caprolactam in the East China market is around 13,600 yuan

Specifically, the caprolactam market showed an upward trend from April to mid-May, mainly due to a boost from the cost side
.

The listed price of Sinopec's pure benzene rose from 6,500 yuan in early April to the highest price in May of 8,200 yuan, an increase of 26%

In terms of cost, from the perspective of the overall trend of pure benzene prices, there are still expectations of a decline in July-August.
However, due to strong crude oil and continued low support from port inventories, the decline in pure benzene has slowed down
.

In addition, from August to September, the downstream styrene and caprolactam of pure benzene all have new capacity and put into production, the pure benzene market may rebound at the end of the third quarter

On the supply side, according to Longzhong Information, the production of caprolactam in the second quarter is estimated to be 1.
0312 million tons, a decrease of 1.
09% from the first quarter
.

According to the current caprolactam overhaul and new capacity plan, from July to August, Heze Xuyang, Yangmei Taihua, Inner Mongolia Qinghua, Hualu Hengsheng and other facilities will restart or start production, and caprolactam will have 400,000 tons/year capacity to resume supply and 44 New or expanded production capacity of 10,000 tons/year will increase the supply of caprolactam more in the later period

On the whole, the price of raw material pure benzene is expected to be adjusted in stages, and the supply will increase, the caprolactam market may weaken in July to August
.

However, the demand side will improve from August to September, which is expected to drive the price of caprolactam to rise