Butadiene price continued to rise in August

The domestic butadiene market continued to rise in August, especially in the middle and late ten days. According to the monitoring price of business agency, the domestic butadiene market price was 4773 yuan / ton at the beginning of the month, and 5387 yuan / ton at the end of the month, with an increase of 20.44% during the month, and a decrease of 47.97% compared with the same period last year.

The domestic butadiene market continued to rise in August. The main reason is that the external market is good and the market supply is relatively tight. On the outside side, the closing price at the end of August was higher than that at the end of July, and the prices in all regions increased substantially: FOB Korea closed at 610 US dollars / ton in late August, up 130 US dollars / ton; CFR mainland China closed 600 US dollars / ton at the end of August, rising 90 US dollars / ton; CFR Northeast Asia closed 625 US dollars / ton at August, up 125 USD / T; FOB Rotterdam closed at 450 USD / T at the end of August, up 180 USD / T; FD northwest Europe closed at 370 euro / T at the end of August, up 85 EUR / T.

In terms of enterprises, Sinopec East China butadiene supply rose 700 yuan / ton to 5400 yuan / ton month on month; the 120000 tons / year butadiene plant in Baolai, Liaoning Province started operation within the month, and 1000 tons of qualified products were sold through competitive bidding by the end of the month; Huajin butadiene plant in Northern China was in stable operation, with 676 tons of goods from online auction as of the end of the month, and most of the offline supply contracts were downstream oriented; Dalian Hengli was 140000 tons/ As of August 31, the listed price of butadiene unit was 5060 yuan / ton, up 550 yuan / ton compared with the same period of last month; the butadiene unit of Zhejiang Petrochemical Company was in stable operation with the listing price of 5100 yuan / ton as of August 31.

In terms of industrial chain, downstream styrene butadiene rubber: according to the monitoring data of business agency, on August 31, the reference price of styrene butadiene rubber was 8233.33 yuan / ton, which was 2.49% higher than that on August 1 (8033.33 yuan / ton). At the beginning of the month, the sales company raised the price of styrene butadiene rubber, and traders tentatively offered to increase the price. Since the middle of June, the spot price of oil glue has obviously increased; at the end of the month, some supply and marketing companies have raised the ex factory price of Xinyue, and the manufacturers have tentatively increased the price, waiting for the market to follow up.

CIS polybutadiene rubber: according to the monitoring data of the business agency, on August 31, the reference price of cis-1-polybutadiene rubber was 8260.00 yuan / ton, which was 2.35% higher than that on August 1 (8070.00 yuan / ton). With Baolai and other companies gradually increasing the supply of butadiene, the cost support is still in place; taixiang, Lande and Dushanzi CIS butadiene units are expected to be overhauled, and the supply of some brands is slightly narrowed; the price difference between Shanghai Rubber and cis-1-butadiene continues to enlarge, and the support from the news is stronger; the comprehensive benefits of the above three parties make the bottom of cis-1-butadiene more solid.

According to the price monitoring of the business agency, in August 2020, there were 42 kinds of commodities in the chemical industry sector, among which 16 kinds of commodities increased by more than 5%, accounting for 17.8% of the total number of commodities monitored in this plate; the top three commodities that increased were polysilicon (53.96%), TDI (30.15%) and DMF (28.48%). A total of 34 kinds of commodities decreased on a month on month basis, with 8 kinds of commodities falling by more than 5%, accounting for 8.9% of the total number of commodities monitored in this sector; the top three products of decline were hydrochloric acid (- 16.08%), isopropanol (- 15.12%) and acetic acid (- 10.13%). This month, the average rise and fall was 2.51%.

In the future, on the positive side, the external price is high; the downstream construction is relatively high; the northern spot supply is limited. On the negative side, the import volume is relatively high; the output of Bora is released; the production of new units is expected to be put into operation. Business agency butadiene analysts predict that the domestic butadiene market is mainly short-term high finishing.