Monthly Archives: October 2019

According to Tu Duoduo’s data, in the first half of 2019, China imported about 1.11 million tons of titanium ore, a decrease of 32% compared with the same period last year. From January to August, China imported 1676900 tons of titanium ore, a decrease of about 520000 tons compared with the same period last year, a decrease of 23.61% compared with the same period last year.

The decrease of titanium ore import is mainly due to the exhaustion of titanium ore resources and the state’s control of radioactive elements. In this year, the resources in the raw ore area of Kenya are exhausted, Sibelco Australia is shut down at the end of 2019, and the project of melinor gudekang is shut down; there is still no quota for the export of titanium ore in Vietnam, and the export of private mining enterprises in India is still limited. In addition, China’s control on radioactive elements, titanium mines in Australia, South Africa, Vietnam and other places are all prohibited from import in varying degrees. This year, titanium is imported. There was a significant reduction in the number of mines.

Domestic titanium ore:

The output of domestic titanium ore has increased significantly compared with last year, so the price has not increased significantly compared with last year.

According to the statistics of Panxi mine, in the first half of this year, the amount of titanium minerals of small and medium-sized factories in Panzhihua area doubled compared with that of last year. In the first half of last year, the output of small and medium-sized factories around Panzhihua area was about 200000 tons, and this year it was more than 400000 tons.

In Panzhihua area, the increase of titanium production mainly includes the following aspects:

1. The price of iron ore rose, and many small and medium-sized concentrators returned to work.

2. The intensity of environmental protection is weakened, and the market operation is increased.

3. Compared with last year, Panzhihua Iron and Steel Co., Ltd. has increased the demand for outsourcing ore this year, and the output of titanium ore has increased year on year.

The output of titanium ore in Xinjiang is 145000 tons in the first half of this year and 180000 tons in the whole year of last year. However, due to the high phosphorus content of titanium ore in Xinjiang, the downstream can only be used in combination, which has little impact on the market as a whole.

It is difficult to make up for the shortage of some imported titanium ores with the increase of domestic titanium ore production. And the content of perovskite and magnesium in China is high, so the raw material of low perovskite and titanium is needed in domestic chlorination process. In recent days, the price of Panxi titanium ore rose again, mainly due to tight supply.

Demand side:

Titanium ore is mainly produced by titanium dioxide. Taking titanium dioxide production as an example, according to the statistics of Tuduo, the cumulative production from January to September 2019 is 2316000 tons, an increase of about 100000 tons compared with the same period last year, an increase of 4.72% year on year. It is estimated that there will be an increase of over 100000 tons this year.

Titanium market is good, sponge titanium market price is in short supply, and the demand for raw materials is also increasing.

Demand growth, supply reduction, so this year’s titanium ore prices also continued to rise.

Why is titanium still optimistic?

Imported titanium ore:

The main production methods of titanium tetrachloride are shaft furnace chlorination, boiling chlorination and molten salt chlorination. The shaft furnace chlorination process with long process, small capacity and large labor volume has been basically eliminated. The production capacity of boiling chlorination is easy to expand, the three wastes are easy to be treated and other characteristics are more advanced than molten salt method. The domestic production of chlorination is mainly based on boiling chlorination. However, the requirements of boiling chlorination for raw materials are relatively strict, requiring low perovskite.

This year, new capacity of domestic chlorination process has been released, while titanium concentrate in Mozambique and Senegal is internationally recognized as the best raw material of chlorination process, with high grade and low content of calcium and magnesium (Cao, MgO < 0.01%), which has been in short supply.

This year, the capacity of new domestic chlorination process was released, which greatly increased the quality of titanium raw materials. Take longmang Bailian for example. Last year, 60000 tons of titanium dioxide from chlorination process were produced by enterprises. This year, 300000 tons of titanium dioxide were produced in Jiaozuo area. In addition, 60000 tons of titanium dioxide from chlorination process were produced in Yunnan Province, which doubled the demand for titanium raw materials from high-quality chlorination process. This year, the chlorination process of Tianyuan in Yibin was put into production, and the chlorination process capacity of Xiangsheng in Xinjiang and other enterprises was put into production. Release, sponge titanium market demand, demand for raw materials is also increasing. However, there are still a large number of capacity under construction in the market, and the mining of new mines will face various problems. The price of titanium raw materials for high-quality chlorination continues to be optimistic.

Panxi titanium ore:

1. As the price of imported titanium ore continues to rise, the downstream titanium dioxide plants are also adjusting the proportion of ore consumption and increasing the demand for Panzhihua ore.

2. Since September, Panzhihua steel titanium industry requires that the outsourced processing enterprises of iron and titanium products must return the titanium concentrate in full amount as agreed in the contract, resulting in the suspension of the export quantity of the outsourced enterprises that return insufficient amount to Panzhihua Steel in the early stage. At present, the supply quantity of titanium concentrate in Panzhihua area is in short supply. It also causes the recent price increase.

4. The price of raw ore is high and the cost of medium-sized ore is high. If the factory price is 850 yuan / ton of medium-sized ore at present, the market price is 1300 yuan / ton and there is basically no profit;

5. After the national day, the operating rate of titanium dioxide increased and the demand for titanium ore increased.

Although the titanium dioxide market has gradually entered the off-season, the supply of titanium ore is tight, and the price will still run at a high level, which also supports the price of titanium dioxide.

ferric sulfate (Poly ferric sulphate)

Propylene prices in Shandong Province fell continuously, falling by more than 3% in 6 days

I. price trend

According to a large number of data in the list of business agencies, the market price of domestic propylene (Shandong) has been continuously reduced in recent days. On October 16, the average price of enterprises was 7566 yuan / ton; on October 21, the average price of enterprises fell to 7287 yuan / ton, a drop of 3.69%.

II. Analysis and comment

Product: it is the National Day holiday at the beginning of October. Due to the impact of the policy of limiting production and operation, the price of propylene during the holiday has been generally stable, with occasional downward trend. After the end of the policy, most of the initial prices remained stable. On the 10th and 11th, the prices of the enterprises rose. On the 12th, the prices stabilized. On the 13th, 14th and 15th, they all rose slightly. On the 16th, they were stable. On the 17th, most of the enterprises began to decline. On the weekend, the decline was obvious. Today, some enterprises still fell. At present, the market turnover is about 7200-7550 yuan / ton, and the mainstream price is 7200 yuan / ton. At present, the inventory pressure of the refinery is increasing, and the shipment is not smooth.

Potassium monopersulfate

Industry chain: upstream, the international crude oil market fluctuates in a narrow range, with limited support for propylene market. In the downstream, affected by environmental protection issues, most of the downstream product prices of propylene are in a downward trend, the demand side support is weakened, and the purchase of propylene is cold and wait-and-see.

In the near future, the PP spot market is weak, and the current price is the same as that at the beginning of last week, which has little impact on propylene.

Domestic acrylic acid demand is weak in recent days, the market inquiry volume is small, today’s market down 2.16%, propylene prices have a certain degree of repression.

Propylene oxide has declined several times in recent days, down 2.22% on the 6th, which is also bad for propylene market.

The price of epichlorohydrin has been rising for several times, up 16% in half a month, which has a certain effect on propylene market.

In recent days, the n-butanol market has been affected by the support surface, maintaining a weak stability and consolidation, and the price has not fluctuated.

The price of octanol has been explored continuously in recent days, with a 6-day drop of 2.52%. Recently, octanol market or low consolidation is the main factor, which has a suppressive effect on propylene market.

Isopropanol market has been a weak decline since October, half month decline has reached 12.29%, the downstream do not buy the mood to wait-and-see, the delivery of goods holders is relatively soft, which has a negative impact on propylene market.

Phenol market fell 8.90% in half a month, or it will continue to maintain this trend, which will suppress propylene.

Acetone market fell 10.49% in half a month, and may continue to maintain weak operation, which is bad for propylene market.

III. future forecast

According to the propylene analyst of the chemical branch of business society, the propylene market has been continuously lowered recently. Crude oil mainly fluctuates in a narrow range; most of the lower reaches are down and the purchase is cold, so it is expected that the market price of propylene will continue to decline in recent days.

Azodicarbonamide (AC foaming Agent)

October 21 epichlorohydrin price rise

I. price trend of epichlorohydrin:

The market price of epichlorohydrin rose by 3.37% as of October 21, compared with that of last Friday (October 18), according to the data in the large list of business agencies. Today, the main quotation of epichlorohydrin is 17000-19200 yuan / ton.

II. Market analysis:

EDTA 2Na

Product: epichlorohydrin market rose on the 21st. On 21, the domestic epichlorohydrin market continued to rise, the supply side was tight, the focus of the negotiation was high-end, the mentality of the buyer was strong, low-cost goods were hard to find, downstream users just needed to buy, the buyer did not take the initiative to offer, and there was a strong wait-and-see atmosphere on the site.

Industrial chain: the market price of upstream propylene in Shandong fell slightly on the 21st. At the beginning of October, it was the National Day holiday. Due to the impact of the policy of limiting production and operation, the price of propylene remained stable during the holiday, with occasional downward trend. After the end of the policy, most of the initial prices remained stable. On the 10th and 11th, the prices of the enterprises rose. On the 12th, the prices stabilized. On the 13th, 14th and 15th, they all rose slightly. On the 16th, they were stable. On the 17th, most of the enterprises began to decline. On the weekend, the decline was obvious. Today, some enterprises still fell. At present, the market turnover is about 7200-7550 yuan / ton, and the mainstream price is 7200 yuan / ton. On the 21st, the downstream epoxy resin was obviously supported by the production cost, and the manufacturers mainly made high-level offers.

3. Future forecast:

According to epichlorohydrin analysts of the business association, the slight drop of upstream raw material propylene has limited impact on epichlorohydrin, and the supply and demand side is still the key to increase or decrease the price of epichlorohydrin. The short-term operators are optimistic, and the tight situation of the market is difficult to ease temporarily. The market may maintain a high level of consolidation, which does not rule out the possibility of pushing up. The specific situation still needs to pay close attention to the upstream and downstream mainstream manufacturers’ information guidance.

EDTA

The trend of cryolite price this week was stable (10.14-10.18)

I. price trend

According to the data of the business club’s large scale list, the market price of cryolite this week has a stable trend. The average market price in this week is about 6350.00 yuan / ton, up 33.33 yuan / ton or 0.52% compared with last weekend, down 1.30% compared with last year.

II. Market analysis

Product: the price trend of cryolite is stable this week, and there is no obvious price adjustment by the manufacturer within the week. As of August 18, Zibo Kunyu industry and trade cryolite offered 6500 yuan / ton; Changshu Hongjia fluorine Co., Ltd. cryolite offered 7200 yuan / ton; Jiaozuo Minli industry cryolite offered 6950 yuan / ton; Zhengzhou Tianrui crystal technology cryolite offered 6600 yuan / ton, up 100 yuan / ton; Shandong Botao Group Co., Ltd. cryolite price 7000 yuan / ton, the enterprise shipped smoothly, and the transaction was acceptable.

Industry chain: the price trend of fluorite in the upstream of cryolite is stable this week, and the average price of domestic market is about 2866.67 yuan / ton in the week. The price trend of upstream domestic fluorite fluctuated at a low level. As of the 18th day, the average price of domestic fluorite was 2866.67 yuan / ton. In the near future, the domestic fluorite unit was started normally, the mine and flotation unit in the field were started normally, the supply of fluorite in the field was sufficient, and the price of downstream hydrofluoric acid remained at a low level in the near future. For the purchase on demand in the fluorite market, the situation of fluorite in the field was poor, and the market price of fluorite was temporarily stable. In the aspect of downstream electrolytic aluminum, the trend of aluminum price this week increased. The price at the beginning of the week remained at about 13813.33 yuan / ton, while at the end of the week it was about 14016.67 yuan / ton, with a drop of 1.47% in the week.

According to the price monitoring of the business association, in the 41st week of 2019 (10.14-10.18), there are 14 kinds of commodities in the list of commodity prices rising and falling, including 4 kinds of commodities with a 5% increase or more, accounting for 4.8% of the number of commodities monitored in the chemical sector; the top three commodities are DMF (12.00%), hydrogen peroxide (11.62%) and sulfur (5.32%). There are 38 kinds of commodities falling on a month on month basis, 8 kinds of commodities falling by more than 5%, accounting for 9.5% of the number of commodities monitored in the sector; the top three products falling are butadiene (- 9.07%), phenol (- 7.16%) and isopropanol (- 6.22%). This week’s average was – 0.76%.

III. future forecast

According to the cryolite product analyst of the business association, the current cryolite manufacturer’s factory quotation is multi-dimensional and stable, the device operates normally, the inventory is sufficient, and the shipment is acceptable. It is expected that the market of cryolite in the later stage will be mainly sorted and operated, with specific attention to market demand.

This week, the quotation of POM is stable (10.14-10.19)

I. market price trend chart of polyformaldehyde

Price curve of POM

(photo source: Commodity analysis system of Business Club)

According to the monitoring of business agency, the average price of polyformaldehyde (96) in Shandong this week is 4800 yuan / ton, which is stable.

Sodium selenite

II. Market analysis

Products: Shandong aldehyde Chemical Industry Co., Ltd. has an annual output of 30000 tons of polyoxymethylene. The factory quotation of Polyoxymethylene (96) is 4800 yuan / ton, including tax. The quotation is stable. Linyi Shengyang Chemical Co., Ltd. has an annual output of 9000 tons of POM, and the ex factory quotation of POM (96) is 4800 yuan / ton, which is stable. Zibo Qixing Chemical Technology Co., Ltd. has an annual output of 10000 tons of polyoxymethylene, and the factory quotation of Polyoxymethylene (96) is 4800 yuan / ton, including tax; the quotation of the manufacturer continues to be stable, and the demand for downstream resin and pesticide is general.

Industrial chain: upstream methanol situation. Since last Friday (10.11), the domestic methanol market has been surging and falling back. As of October 15, the average price of domestic methanol market is 2352 yuan / ton. The price is 12.11% higher than that of the same period last month, and 28.92% lower than that of the same period last year.

III. future forecast

The price of raw material methanol has gone down, and the market demand for POM is general. According to POM analysts of the business association, the price of POM may continue to maintain stable operation.

Chitosan oligosaccharide

This week, the price of sodium metabisulfite is stable (10.14-10.18)

I. price trend of sodium pyrosulfite in China

Gamma-PGA (gamma polyglutamic acid)

According to the monitoring of the business association, the domestic price of sodium pyrosulfite continued to move forward steadily this week. The average price of industrial grade sodium pyrosulfite at the beginning of the week was 1816.67 yuan / ton, and the average price at the end of the week was 1816.67 yuan / ton, up or down by 0.

II. Market analysis

Product: the overall market performance of sodium metabisulfite this week is average. The market price range of industrial grade sodium metabisulfite is 1700-1950 yuan / ton, and most of the prices are around 1800-1850 yuan / ton. At present, the domestic sodium metabisulfite market is relatively abundant in stock, and the downstream trade entities still have a strong wait-and-see attitude. Enterprises mainly complete orders from old customers, with limited new orders and fast in and out. (the above prices refer to the foreign quotations of domestic mainstream enterprises, some of which are temporarily excluded from the scope. The prices are for reference only and have nothing to do with the final pricing of the manufacturer. For details, please contact each manufacturer for consultation).

Industry chain: this week, the upstream soda price slightly increased by 1.52%, and the sulfur price increased by 5.32%. The slight recovery of raw material cost will support the market price of sodium metabisulfite in the future.

III. future forecast

Business analysts believe that the raw material cost support is getting stronger and individual enterprises’ quotation is increased, but most enterprises maintain the price unchanged. The market of Jiaoya is still mainly affected by the demand support, and it will take some time for the market to really turn better.

Azodicarbonamide (AC foaming Agent)

On October 17, the price trend of hydrofluoric acid Market in China was temporarily stable

On October 17, the HFA commodity index was 88.75, unchanged from yesterday, down 36.80% from 140.43 (2018-02-21), the highest point in the cycle, and up 65.61% from 53.59, the lowest point on November 30, 2016. (Note: cycle refers to 2011-09-01 to now).

According to statistics, the price trend of domestic hydrofluoric acid market is temporarily stable. Up to now, the price of domestic hydrofluoric acid market is 9780 yuan / ton, and the operation rate of domestic hydrofluoric acid is less than 60%. The enterprise reflects that the spot supply of hydrofluoric acid in the field is sufficient at present, and the goods in the hydrofluoric acid field can not be moved in the near future. Due to the lack of improvement in downstream demand, the prices of some hydrofluoric acid manufacturers are stuck, and the market price of hydrofluoric acid remains low. At present, the mainstream of hydrofluoric acid negotiation in the south is about 9000-9500 yuan / ton, and the price of hydrofluoric acid in the north market is 9000-10000 yuan / ton. The domestic market price of hydrofluoric acid maintains a low level, the supply of spot goods is sufficient, but the demand is poor, and the market price of hydrofluoric acid maintains a low level of volatility.

EDTA

The price of fluorite in the upstream market remained low. As of the 17th, the price of fluorite was 2866.67 yuan / ton. The decline in the price of upstream raw materials had a negative impact on the hydrofluoric acid market. The price of hydrofluoric acid market was at a low level due to the impact of the lower price of fluorite. In the near future, the trading market of downstream refrigerants in the terminal market is general, and the domestic market price of refrigerant R22 remains low. From the perspective of market supply, the market price of refrigerant R22 continues to be weak, the manufacturer’s production device reduces the starting load, the market supply capacity has declined, and the inventory pressure has been slowed down. In terms of demand, the downstream air-conditioning manufacturers maintain the air-conditioner, and the demand only decreases but not increases. The main price of domestic large enterprises is 12000-14000 yuan / ton. The price trend of R134a market in China is at a low level, the unit operating rate of production enterprises remains at a low level, the market demand for refrigerants is reduced, and manufacturers mainly export their products. However, the transaction price in the market keeps falling, the merchants purchase on demand, the peak season ends, the downstream demand of the terminal only decreases but not increases, and the price trend of hydrofluoric acid market declines. However, the transaction price in the market is low, and businesses purchase on demand. Recently, due to the normal supply of goods, the downstream demand is not improved, and the market price of hydrofluoric acid remains low.

The transaction situation in the refrigerant market is poor, the unit operating rate of the refrigerant industry remains low, the demand for the upstream hydrofluoric acid market is limited, and the spot supply of hydrofluoric acid is sufficient, but the manufacturer reflects that the loss is relatively serious, and Chen Ling, an analyst of the business agency, believes that the market price of hydrofluoric acid may maintain a low level.

Melamine

OPEC hinted that it would further reduce production, leading to slightly higher oil prices

Oil prices rose on Wednesday following gains in the stock market, with investors hoping for a possible brexit agreement between the UK and the European Union, and signs that OPEC and its allies may further curb supply, Reuters reported.

But gains were limited as concerns about the global slowdown continued.

Brent crude oil futures, the global benchmark, rose 21 cents to $58.95 a barrel in 0310 GMT, about 0.3% higher than the closing price of the previous session. US West Texas Intermediate rose 16 cents, or 0.3 percent, to $52.97 a barrel.

Edward Moya, senior market analyst at OANDA in New York, said: “with the mitigation of the two major tail risks of global demand (Sino US trade war and brexit), oil began to show some bullish positions.”

“Although it seems impossible to reach a broader trade agreement in the short term, the risk of a trade war between China and the United States is gradually diminishing.”

The final talks between the UK and the EU to reach a brexit agreement ahead of this week’s EU leaders’ summit have lasted from midnight to Wednesday, but it is not clear whether the UK can avoid the planned brexit on October 31.

Analysts said any agreement to avoid a “hard” or non agreed brexit should boost economic growth, which in turn should drive up oil and prices.

OPEC Secretary General Mohammed bajindo said that OPEC and its allies will “do everything possible” to maintain the stability of the oil market beyond 2020.

ferric sulfate (Poly ferric sulphate)

Aluminum ingot prices stop falling and rise, with little downward space

1. Trade name: standard aluminum ingot (99.70)

2. Latest price (October 16, 2019): 13896.67 yuan / ton

3. Analysis points:

Melamine

Since the middle of September, aluminum prices have been falling continuously. On the one hand, the production capacity that was shut down for some reasons in the early stage has gradually recovered, and the domestic supply side pressure has been reflected in the market in advance.

It is reported that in the near future, about 50000 tons of hydropower capacity in the western part of Qinghai has been resumed; 500000 tons of affected capacity in the early stage of Xinjiang Xinfa has been resumed one after another; 450000 tons of capacity has been resumed in Weiqiao, Shandong, and the remaining capacity is still in the process of recovery; 250000 tons of capacity in the second phase of new Hengfeng, Baotou City, is expected to start power on and put into operation on October 15. After October, 200000 tons of creative metals, 100000 tons of Yunnan Shenhuo phase I, 150000 tons of Yunnan Qiya, 150000 tons of 100 mines and 250000 tons of Guangyuan Linfeng are planned to be put into production again, totaling about 850000 tons.

On the other hand, the main reason is that the early news of Indonesia’s ban on bauxite led to a sharp rise in aluminum prices. Based on the release of news that Indonesia’s bauxite accounts for 1-20% of the total import of domestic bauxite, the market estimates whether Indonesia’s ban on bauxite or not has limited impact on aluminum prices, and the expectation of long aluminum prices is broken. The price of aluminum ingot gradually returns to the actual supply and demand.

4. Future forecast: in the near future, the alumina price is relatively strong, the aluminum ingot cost support is strong, the superimposed social inventory is significantly lower than that in the early stage, and the overall fundamentals are good. In addition, at present, the aluminum ingot price basically returns the increase in the early stage, and the downward space is expected to be limited. In the later stage, attention is paid to the actual market situation.

Azodicarbonamide (AC foaming Agent)

Silicone market fell – 13.49% after the festival, reaching the bottom and waiting to rise

I. price trend

According to the monitoring data of the business association, by October 16, the average price of organosilicon DMC was about 17266 yuan / ton, down by – 13.49% compared with October 8, the first day after the festival. At present, the market price of organosilicon DMC is about 17000-18000 yuan / ton.

EDTA

II. Market analysis

Products: after the national day, the silicone market set off waves. On the first day after the festival, on October 8, the silicone market ran smoothly. On October 9, with the increase of inquiry volume, the price fell rapidly. After the festival, the price dropped sharply, with the highest down quotation of 2000 yuan / ton. The situation of goods cleaning appeared. The organic silicon products of monomer enterprises are directly close to the cost price to receive orders. The transaction price of organic silicon DMC is as low as 16500 yuan / ton (cash delivery). The sharp drop in price has led to a positive mentality of downstream stock up, which has aroused the enthusiasm of most downstream enterprises for rush purchase. Most monomer enterprises have obtained the first large order after the festival. On October 10, a small number of factories began to call back the quotation, and the quotation was increased by 200-300 yuan / ton. Due to the increase of the order quantity, the big monomer factories had a clear attitude of looking forward to the increase. The monomer factories announced that they began to arrange the production one after another, and the later order price was expected to rise back. On October 14, the price of the mechanical silicon DMC products of most monomer factories was still stable, and the price increase was not obvious. On October 16, there was an economic report. The latest quotation of the seller is lowered again. Up to now, the silicone market as a whole is still at the bottom to be increased.

EDTA 2Na

Industry chain: after the national day, the price of raw rubber, 107 rubber and silicone oil of downstream products of silicone DMC fluctuated with the fluctuation of the overall silicone market. In the early stage of the festival, affected by the overall decline of the silicone market, the transaction price of raw rubber was as low as around 17200 yuan / ton (delivered by spot exchange), and silicone oil made a large profit synchronously. The offer of 107 rubber brand enterprises was as low as 17500-18500 yuan / ton (delivered by spot exchange). To), the low price promotes the purchase enthusiasm of most terminal downstream enterprises, and each single enterprise increases the intention order. In the next few days, with the price of organosilicon DMC rising, the price of downstream products also fell back. At present, DMC, 107 rubber, raw rubber, silicone oil, etc. are in a continuous rising trend.

III. future forecast

Business analysts believe that: it is expected that in late October, the organosilicon DMC may usher in a pick-up.