The market situation of butadiene rubber has significantly increased

Since June, the butadiene rubber market has seen a significant increase. According to the Commodity Market Analysis System of Business Society, as of June 18th, the price of butadiene rubber in the East China region was 15570 yuan/ton, an increase of 10.50% from 14090 yuan/ton in early June. The price of raw material butadiene has significantly increased, and the cost support for butadiene rubber is strong; The production of butadiene rubber continues to remain low; Downstream tire production has recently declined, with weak purchases of butadiene rubber and high levels of butadiene futures, driving a strong market atmosphere.

Since June, the price of butadiene has risen significantly, with strong support for the cost of butadiene rubber. According to the Commodity Market Analysis System of Business Society, as of June 18th, the price of butadiene was 13650 yuan/ton, an increase of 14.95% from 11875 yuan/ton in early June.

Since June, the production of domestic butadiene rubber plants has continued to remain at a low level, and as of June 18th, the production of domestic butadiene rubber has been around 5.3%.

Demand side: Since mid June, downstream tire production has significantly decreased, and in the short term, demand will face some drag on the butadiene rubber market. As of June 14th, the operating load of semi steel tires in domestic tire enterprises is around 75%; The operating load of all steel tires for tire enterprises in Shandong region is about 5.2%.

Market forecast: From a fundamental perspective, analysts from Business Society believe that the price of raw material butadiene has significantly increased, and the cost support for butadiene rubber is strong; The production of butadiene rubber remains low, and the market supply is tight; At present, downstream tire companies have seen a significant decline in production, which has dragged down the production of butadiene rubber. Overall, the butadiene rubber market has remained strong in the near future under the support of cost and low production. We still need to pay attention to the downstream stocking situation in the future.