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Ben is the same root, frying why too urgent! Polypropylene powder and grain are also a member of plastic products, why in the market sales, downstream factory procurement on the price gap is so large, powder market is only based on the thorns in the eight thousand above, how Nai industrial chain acrylic and terminal so squeezed, is the grain strong to save the powder, or powder is not strong enough to drag down the grain, the crowd said
... First, polypropylene powder price difference is so clear polypropylene powder and grain trend is positively related, and the price difference between the two is gradually expanding, the normal price difference between the two 400 yuan / ton, the current polypropylene powder and grain price difference of 895-950 yuan / ton, higher than the base price difference of 300-400 yuan / ton. East China grain low price 8800-8900 yuan / ton, while powder low price has Sanjiang powder 7950 yuan / ton. The spread between the two price differentials has further widened due to the decline in propylene and weak follow-up
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, leading to the widening of the spread mainly due to propylene change trendAcrylic price movements in China have found that in 2018 acrylic hit an all-time high due to high oil prices and tight supply. The propylene industry chain in Northeast Asia has expanded rapidly, while the Middle East has slowed and North America and Western Europe have largely stagnated, as low-sulfur marine fuel policies have led to expectations of reduced supply of acrylic from refineries. The world propylene industry chain to build a new balance of trade, due to the differentiation of the cost of propylene around the world and high prices of polypropylene, the world's acrylic industry chain overall profit slightly increased. Domestic propylene expansion peak in recent years, especially PDH/CTO with the help of cost advantage capacity increase significantly, domestic acrylic capacity oversupply pattern gradually appeared. Domestic propylene recently all the way down, due to propylene main downstream polypropylene, epoxy propane, acrylic and other market transactions are weak, especially powder and propylene more closely related, while ethylene propane parking maintenance increased, such as Shandong Xinyue 350,000 tons / year, Shandong Sanyue 240,000 tons / year acrylic devices have maintenance, load reduction, resulting in an increase in the supply of propylene in Shandong, resulting in a recent decline in domestic propylene. Acrylic as a polypropylene powder direct upstream, acrylic decline, exacerbating the cost of powder decline, business bearish sentiment significantly increased. Powder all the way down the road, the grain is relatively strong, increasing the spread between the two.
3. Polypropylene powder and grain price difference analysis
Due to the intersection of polypropylene powder and grain downstream, from the cost and sales strategy analysis of the normal price difference between the two at 300-400 yuan / ton, downstream plastic Enterprises can be appropriate to mix the two, once the spread exceeds the base price difference, downstream plastic enterprises will give up expensive grain procurement, to the cost of relatively low powder procurement, so in the powder market all the way down, grain wire pressure will increase. At present, the powder is supported by the low price rebound of propylene, the downward trend of powder again slows down, and the low price has room for rebound. The grain is affected by the spread between the two, there is a slight downward trend, the spread between the two may be further narrowed.