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In 2021, the domestic propylene oxide market will be under high pressure, and the supply and demand pattern will be loose due to the implementation of new production capacity
Three dips, highs, lows
Three dips, high, low, three dips, highs, lowsOverall, the propylene oxide market will roughly experience three major shocks and declines in 2021
The first time it dropped, it rose slightly and fell sharply, with a drop of 12.
The second time it went down, there were big ups and downs, with a drop of 7.
The third time it dropped, it rose slowly and fell sharply, with a drop of 19.
Expansion of land and loose supply
Expansion of land and loose supplyChen Xiaohan, an analyst at Longzhong Information, said that the reason for the high opening and low moving of the propylene oxide market seems to be caused by the supply and demand pattern changing from a tight balance to a loose one, but the root cause is that the new production capacity is concentrated and the supply pressure is increasing
"2021 is the first year of expansion of propylene oxide, and the output has grown significantly
In terms of downstream demand, although the polyether polyol industry has successively released new production capacity during the year, it has not formed a large demand support after hedging with overseas resumption devices.
Throughout the year, the supply of new propylene oxide production capacity increased, while the downstream polyether polyols did not provide strong support from the demand side, resulting in the propylene oxide market opening up and down
The price may fluctuate at the ten thousand yuan line
The price may fluctuate at the 10,000 yuan line The price may fluctuate at the 10,000 yuan line"2022 may become a year of pressure on new production capacity, which will be a huge test for downstream digestibility
In terms of supply, 2022 will be the second year of intensive expansion of propylene oxide
In terms of demand, China's polyether polyol industry is already in a state of overcapacity, and the expansion of propylene oxide is accelerating, which will be a huge test for downstream digestibility
Looking forward to 2022, with the release of more new production capacity and little increase in the demand side, the supply and demand pattern of propylene oxide is likely to remain loose.
