The supply of multi-category chemical raw materials is in short supply, prices are skyrocketing, the upstream of the industrial chain is “happy” and the downstream is “sorrowful”

Under the influence of multiple factors such as dual energy consumption control and power curtailment, the supply and demand pattern of the chemical industry is imbalanced, and the prices of various chemical raw materials are rising

"It has been especially obvious since September that the supply of hydrogen peroxide, sulfuric acid, hydrochloric acid and other raw materials that we need to use in our production process is sometimes not guaranteed, and the price has at least doubled this year

The price increase is coming fiercely.

The contradiction between supply and demand intensifies raw material prices soaring

In September of this year, Yunnan Province issued the "Notice on Resolutely Doing a Good Job in Dual Control of Energy Consumption", requiring that the average monthly output of yellow phosphorus production lines in the yellow phosphorus industry from September to December 2021 should not exceed 10% of the output in August 2021 ( That is to reduce the output by 90%)

Under the influence of 90% of the production limit news, superimposed on the effects of low inventory levels, environmental protection inspections and power restrictions, the overall operating rate of the yellow phosphorus industry is at a low level, and the price has risen sharply in a short period of time.

"It's not just yellow phosphorus, but the prices of chemical raw materials including propiconazole and glycine are rising

"Since this year, most chemical raw materials have been in this state

On October 14, data released by the National Bureau of Statistics showed that among the purchase prices of industrial producers, the price of chemical raw materials rose by 20.

The shock wave of price hikes conducts downstream price hikes to hedge cost pressures

"Upstream growth, we can only follow
.
The price of glyphosate has risen from the previous 20,000 yuan/ton to 70,000 yuan/ton
.
The domestic small and medium-sized enterprises in the glyphosate industry continue to withdraw their production capacity, and many existing glyphosate enterprises have full production facilities.
The load is running, and the overall supply is tight
.
" A deputy general manager of a fine chemical company in Nantong area told reporters
.

"The price of raw materials has also been rising.
It can be said that it is'one price per day
.
' But because we participate in more public bidding projects, it is impossible to increase the price of the product at will.
At present, there is no price increase.
How long is hard to say
.
" Xiao Wang, the sales manager of a pesticide manufacturer in Nantong, said in an interview with reporters
.

　　The price increase of raw materials is tantamount to an industry "big test", which tests the influence of industry chain companies on channels and brand power in consumers' hearts
.

　　"This round of price increases is conducted level by level.
From raw materials to production process to end product prices are rising.
This is different from the price increase of a certain link in the past.
It is the industry chain from top to bottom.
An'inflation wave'
.
" A certain chemical industry practitioner in Guangzhou said in an interview
.

　　"Raw material prices rise, business costs rise, and price increases are certain
.
However, in actual operation, the transmission of price increases in the industrial chain is sometimes not smooth
.
Rigid demand and some high-frequency products can increase prices, but non-rigid demand increases will definitely be affected.
Once the feeling of resistance arises, terminal demand will be suppressed
.
” Liu Dongyuan told reporters that in the short term, a supply-demand relationship will not be alleviated quickly.
This trend will continue at least into the first quarter of next year, and may be after the second quarter.
It's getting better
.

　　Speaking of the rise in raw materials, Pan Helin, executive dean of the Institute of Digital Economy of Zhongnan University of Economics and Law, said in an interview with a reporter from the Securities Daily, “The current rise in raw materials is the result of multiple factors around the world, not a single dual energy consumption control.
As a result, while the
upstream coal, oil, and natural gas energy prices are rising, the new energy industry cannot afford the huge energy demand.
Under the background of not improving the supply side, a large amount of power demand has appeared on the demand side, resulting in a shortage of power
.
"

　　Pan Helin said, "Raw material prices will continue to rise, but it should not exceed the peak period of power consumption in winter
.
For companies, they must actively strive for production capacity.
After all, under the background of low inventory, products produced The market is still relatively optimistic, and most market segments are in short supply
.
Electric power companies or large-scale industrial companies can take energy storage measures to manage power and increase power reserves during low power demand periods
.
In terms of raw materials, companies can use long-distance Contracts and hedging to lock in cost prices
.
” (Reporter Weixin Cao)

Transfer from: Securities Daily