Multiple sets of devices reduce negative parking aniline spot tight high price operation

Since October, aniline, which is a raw material for MDI (diphenylmethane diisocyanate), has continued to rise
at a high level.
As of October 25, the mainstream quotation of domestic aniline is 14620 yuan / ton -15200 yuan / ton
.
The Cailian reporter noted that some enterprises have recently stopped spot quotations
due to parking for maintenance.

Wang Hongyan, an analyst in the information industry of Longzhong Information, told Cailian News Agency that the sharp rise in aniline prices in September was mainly due to the increase in spot demand for the raw material aniline by MDI, resulting in tight
supply in the spot market.
Since the beginning of this year, MDI has started normally, the demand for aniline has been relatively stable, and recently many large enterprises due to equipment maintenance and negative parking, the supply of aniline has been low, resulting in tight spot supply, and prices continue to rise
.

Industry insiders also told the Cailian reporter that the current tight spot supply of aniline is mainly due to the supply shortage
caused by the shutdown of large enterprises.
In May this year, Jilin Cornell Chemical 1 set of 180,000 tons of plant stopped, so far there is no plan to resume production, resulting in Shanghai Lianheng aniline-MDI co-production plant, the formation of about 30% of the raw material gap every month, in order to ensure MDI production, Shanghai Lianheng had to seek a stable source of goods from the spot market, and Nanjing Chemical and Shanxi Tianji Chemical, due to the early stable supply of shipborne aniline quantity has been determined, the spot increase is insufficient, coupled with the recent export order price is better than the domestic price, directly led to the shortage of spot supply in the market, the price rises
。

Longzhong information industry price data shows that since the beginning of September, the domestic aniline market began to rise all the way, with a monthly increase of 18%, and the average domestic price at the end of September was about
11800 yuan / ton.
Since entering October, aniline has achieved a high upward level, and the current price is about 20%
higher than at the end of September.

From the supply side, the current spot supply of aniline continues to decline
.
As of last week, the operating rate of the domestic aniline industry was only 57%, down 11.
7%
from the previous week.
This week, the unplanned parking of a 100,000-ton plant in Jinling, Shandong, and the planned parking of Dongying Huatai made the market supply more and more tight, supporting the high price of
aniline.

According to the statistics of the reporter of the Financial Union, the large-scale production capacity that has been stopped in the aniline industry at present includes 3 sets of Wanhua Chemical (600309.
SH) with a total of 1.
08 million tons, Jilin Cornell 180,000 tons of plants, Shanxi Tianji Chemical 2 sets of 260,000 tons of plants, Jiangsu Yangnong Chemical 30,000 tons of equipment reduced by half of the load production, in addition, Jiangsu Fuqiang also has a parking maintenance plan
.

Some relevant enterprise personnel told the Cailian reporter that under the current price, aniline profits are higher and the enthusiasm of enterprises is high, but many sets of domestic aniline production equipment are aging, and device failures occur
frequently.
With the end of the overhaul, the increase in output after the resumption of work in the industry will be more obvious
.
Especially after the resumption of work of the Jilin Cornell device, the long-term supply to Shanghai Lianheng is resumed, and the supply of the spot market is expected to increase significantly, which may have a certain impact
on the price of aniline.

From the demand side, the MDI market has recently turned from strong to weak.

At present, the domestic MDI operating rate is high, about 80%, but the downstream demand is sluggish, and the market transaction continues to be poor
.
Especially exports, affected by the heating up of the epidemic in Beilun last week, the pressure on factory shipments increased significantly, and prices declined
.
As of last week, MDI's Shanghai source transaction volume was 16200-16300 yuan / ton, and Wanhua cargo transaction concentration was 16800 yuan / ton
.
If downstream demand continues to decline, it will also put pressure
on high-priced aniline.