In 2017, there will be a substantial increase in various plastic capacities in China. In order to reduce the competitive pressure on common plastic raw materials, the domestic petrochemical industry will vigorously develop differentiated production in 2017 and reduce general-purpose material production by switching products frequently and increasing the production volume of functional raw materials. According to the data from National Bureau of Statistics of China, the domestic general-purpose material production decreased by 11,581,000 tons from January to October in 2017, and the operating rate of petrochemical raw material production in October remained at 75%. However, due to the impact of environmental protection policies, the operating rate of some facilities also dropped drastically. about.
Domestic petrochemical stocks are currently under control due to the reduction of general-purpose material production and petrochemical stocks remain at a low level despite the relatively flat market demand. As domestic petrochemical stocks remain low until the end of November, environmental protection policies continue to be stringent in December , The overall inventory of general materials production continues to be controlled, the domestic polyethylene supply is expected to remain tight in the short term.
In the face of the ending of 2017 in 2017, the orders will gradually come to an end in 2017, the new orders will be postponed in 2018, and the overall demand will be subdued due to environmental protection, capital, etc. The demand for export of Christmas products and the delivery of some commodities package The demand is better .11 end point of view, the market mentality biased cautiously in December approaching the end of the year, the tight financial surface, coupled with the overall market to maintain a wait-and-see attitude, the market is not actively stocking attitude is not active mainly just need to be based. Some businesses also believe that in December the overall resource supply is still in a tight state, the cost side is constantly rising, and the market does not rule out the possibility of continued upward.
November 24, domestic petrochemical inventory data of 575,000 tons, the port inventory is 266,000 tons, are currently at a low level, the terminal quarter of rigid demand is gradually getting better in the fourth quarter, traders speculation rising gradually lower the elasticity of demand is relatively flat. At the end of the month, domestic polyethylene supply will remain relatively tight, especially for low-pressure products. Under the pressure of returning funds from the end of the year, the tight demand is expected to be further extended in December.