Just after the Spring Festival, some refrigerator air-conditioning materials prices have started to rise. Is the refrigerator air-conditioning industry the same as last year's 'taste'?
Refrigerator air conditioning raw material prices rose
On February 28 last week, Wanhua Chemical released a March MDI price announcement in China saying that since March, Wanhua Chemical Group Co., Ltd. has had a listing price of RMB 24,500/ton in the MDI distribution market in China (down from the price in February). 1000 yuan / ton), the direct selling market listing price 24,500 yuan / ton (down from the February price of 1,500 yuan / ton); pure MDI listing price 31,700 yuan / ton (up from the February price of 1,700 yuan / ton).
'There is no defense', price adjustments come again. It is noteworthy that the pure MDI rise is followed by another rise, while the price reduction of aggregate MDI is a regular off-season adjustment, and the increase of the former is larger than that of the latter.
What is MDI? Perhaps most consumers are not familiar with it. MDI is a commonly used raw material in the chemical industry and is mainly used for the production of a wide range of materials - polymeric MDI. Polymeric MDI is a type of 'polyurethane', usually in simple English The full Chinese name of the letter substitution is too long, appears in the mouth of the person in the industry. The polymeric MDI has a heat preservation effect and is an important raw material for manufacturing the insulation or sealing layer of refrigerators, washing machines, and water heaters.
Generally speaking, ordinary consumers do not need to distinguish between polymeric MDI and pure MDI, as long as they remember that MDI is a heat-insulating or sealing layer material for household appliances such as refrigerators, washing machines, and water heaters. The refrigerator industry commonly refers to black materials.
Compared with black material, there is white material. The white material in refrigerator foaming material refers to polyether, and its production material is propylene oxide. Since the holiday period, propylene oxide ushered in a wave of price increase. On the 26th of this month in Shandong and South China, the mainstream price of propylene oxide was 12,400 yuan/ton to 12,500 yuan/ton; in the east China, the mainstream price was 12,700 yuan/ton to 12,800 yuan/ton.
Coincidentally, the air-conditioning refrigerant raw materials are also on the rise as an important raw material for fluorine chemical materials, fluorite, hydrofluoric acid prices have hit a record high since 2011. As of February 27, 2018, fluorite, hydrogen Fluoric acid prices were 3000.00 yuan / ton and 15316.67 yuan / ton, up 17.42% and 28.42% over the end of November respectively. Refrigerants and terminal downstream products also appeared a corresponding rise in the price of the phenomenon, ushered in 2018's 'good start' .
Upstream business last year, 'pours'
Whether it is black or white, Wanhua Chemical is the most important manufacturer in China.At present, Wanhua Chemical MDI Division has a production capacity of 2 million tons / year, accounting for more than 20% of the global total capacity and is the global MDI Industry's largest producer of a large global MDI manufacturers a total of five, the other four were Bayer and BASF in Germany, as well as the United States Huntsman and Dow.
Wanhua Chemical predicts that the net profit attributable to shareholders of listed companies will increase by about RMB7.36 billion in 2017 and increase by about 200% over the same period of last year.
For such performance, prices of polyurethane products rose sharply year on year, and sales increased, resulting in net profit attributable to shareholders of listed companies over the previous year a substantial increase.
Major air-conditioning upstream companies include copper, refrigerant suppliers, etc. Jiangxi Copper's 2017 earnings forecast disclosure: The company’s net profit increased by 788 million yuan to 1.024 billion yuan compared with the same period of last year, an increase of 100% -130%. Non-ferrous metals are expected to achieve net profit of between RMB 510 million and RMB 580 million in 2017, representing a year-on-year increase of 183% to 222%.
Both listed companies of copper materials indicated that the prices of major metal products have increased year-on-year in 2017, which promoted their rapid growth. As copper prices continue to rise, processing costs of copper materials are also rising.
Juhua issued a 2017 performance forecast, the company achieved net profit of 830 million -9.5 billion, an increase of 450% -529%. Dongyue Group predicted that the company's net profit in 2017 increased by more than 160% year-on-year substantial growth. Rich 2017 performance notice shows the company will profit 55 million yuan.
Downstream manufacturers this year's destiny unpredictable
Last year, the face of white material, black material and a series of raw materials continued soaring, the head of the refrigerator industry did not increase prices, but to stick to the market, the main push in high-end products.But bargaining power is weak for most second and third tier manufacturers , Raw material prices, the end products have also been forced to rise, in this case, many second and third tier manufacturers into the shrinking or even loss of operating profits among a large number of small micro-refrigerator factory was forced to close the door, closed.
Looking at the trend of prices of refrigerators and black and white materials in the coming year, the trend of raw material costs continuing to rise even further, has already been firmly established. Under such circumstances, whether the refrigerator market will once again become 'distraught' will still depend on the refrigerator head enterprises. This year's price strategy, whether you want to open the 'price war' in disguise.
In the air-conditioning market, last year, with the help of rising raw materials, the head companies took advantage of the increase in raw materials, upgraded their products, and upgraded their products to a certain extent. As a result, the air-conditioning industry as a whole has been improving. Each positioning company has found its own profit margins.
For this year's pre-judgment, Midea air conditioner insiders told reporters that the possibility of playing a low-end price war is very low, and the main trend is to follow the consumption upgrade.
In the context of consumer upgrades, there is a lot of room for high-end products. We are still focusing on this, not the price war. ' This person parses.
This means that air-conditioning companies may be pressured collectively as they did last year, 'tweak' to adjust prices, and lead to upgrades in product consumption. They are each 'positioned on the market' in the market. Of course, this year's market conditions are also an important factor.