Entering the spring, the pattern of terminal demand depression is difficult to change, it is estimated that the PFA market trend will still be dominated by weak shocks. Specifically, the international crude oil continues to hover without a trend impact, the industry itself also maintains only a balanced situation, although the terminal demand is not strong,PFA GranulesThe rigid support is still there, so PFA in the short term or maintain a low volatility trend, it is recommended that investors follow the market, pay attention to the main 1605 contract can break 7500 points.

International crude oil continues to fluctuate at a low level, and the trend market is still under pressure. The driving force supporting the recovery of crude oil has always been focused on the improvement of the contradiction between supply and demand, while the current international crude oil inventories are still high, and there is no process of production reduction and substantial destocking. In the last week of February, EIA crude oil inventories grew for the ninth consecutive week, hitting new highs, directly revealing that international crude oil is still at a high level of supply. In addition, the Fed's December interest rate hike is expected to be good for the US dollar to suppress oil prices, which is also a point of concern for the PFA plastics market. It is undeniable that the current global crude oil demand is still stable, especially the winter oil speculation may also spread, but to find a real balance between supply and demand will take time, the end of the oil market is expected to remain low volatility, the domestic PFA is still difficult to have a trend driven.

PFA is under the enemy, the low pattern is difficult to change. Due to the continued downturn in oil prices, petrochemicals still maintain high profits and no longer blindly support high-priced PFA. And because prices are weak, downstream demand has been slow to grow. Into the spring, the downstream off-season is coming, the willingness to stock is significantly reduced, granulation enterprises are only to maintain just need to purchase. Under the attack of upstream and downstream, the PFA market is more deadlocked.

For the domestic PFA particle industry, the domestic structural overcapacity problem is more serious. At present, more than half of the more than 2000 million tons of PFA particles imported every year in China are high-end products, including polypropylene pipe special materials, capacitor film special materials, polyethylene automobile fuel tank special materials, gas pipeline special materials, automobile bumper special materials, etc. In the future, with the upgrading of China's manufacturing industry and the promotion of the "Internet" action, the differentiation and personalized demand of the market will become more and more obvious, and the consumption of diversified and special-purpose PFA granular raw materials will be larger and larger. The slight gap in the product exposes the deficiency of the accuracy of process control and the stability of product quality. domestic somePFA Granule EnterpriseService awareness also needs to be improved. In the application of PFA particle special materials, downstream users will encounter many technical problems. Without the guidance of raw material suppliers, its performance advantages and added value are difficult to fully reflect.

From the specific industry chain data, the current market atmosphere is relatively flat. On the supply side, the domestic petrochemical operating rate has been running steadily, and the overall operating level has declined since November, and the overall level remains around 89%. In particular, at the end of November, there were temporary overhauls in Shanghai SECCO, Yanchang China Coal, Maoming Petrochemical, Pucheng New Energy and Yanshan Petrochemical. The pressure of domestic polyethylene social inventory is not prominent, but there has been some growth in the near future, because the PFA trend is unstable and the enthusiasm of contract households to bill is not high. On the demand side, the latest data show that the domestic PFA particle output reached 6.77 million tons, up 0.1 percent year-on-year, of which PFA particle output reached 219000 tons, up more than 10% year-on-year, indicating that although downstream enterprises are cautious about low-cost sources, they still need support.

This article comes from:www.tflpfa.com

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