This month, the domestic BDO market froze operation, the overall stability consolidation. According to the sample data monitored by the business community, the average price of domestic BDO producers was 12750 yuan / ton on December 1, and 12800 yuan / ton on December 31, with a price increase of 0.39% and a year-on-year increase of 30.67%.

Some enterprises announced the settlement price in December and the listing price in January:

Enterprise, settlement in December (bulk delivered), listing in January (bulk delivered)

Xinjiang Meike Chemical Co., Ltd. $12650 / T East China, $12800 / T South China (bulk water delivery), $13300 / T East China, and $13500 / T South China (bulk water delivery)

Xinjiang Lanshan Tunhe Chemical Co., Ltd. $12650 / T East China, 12800 / T South China (bulk water to be delivered) 13300 / T East China, 13500 / T South China (bulk water to be delivered)

This month, the domestic BDO market finished at a high level. The cost support is strong, the profit space is compressed, and the factory supports the market. BDO plant operation is stable, downstream start-up decline, high price conflict, negotiation game, center of gravity deadlock.

In terms of units, Henan Hecheng coal company stopped in mid November for maintenance until December 10, and the products came out on December 13; the impact of limited gas in Sichuan Tianhua and Chongqing Jianfeng was reduced to about 70%; Yanchang oil company started operation unsteadily within a month, and the load was maintained at about 30-40%; Dongyuan load was maintained at about 80%; Shaanxi Shanhua chemical’s 100000 ton unit was in full load operation, and the 30000 ton unit was planned to restart in early January 2021; Shaanxi black cat stopped at the end of the month Replace the catalyst.

Downstream, downstream PBT: Kanghui line 1 maintenance, Kaixiang shutdown maintenance on November 15, no short-term restart expected. Demand is expected to increase next month. Pu slurry, TPU started to decline, just need to enter the market. Other downstream companies also have weak intention to prepare goods before the festival. On the whole, there is no obvious change in the demand side next month.

Next month, the raw material side of the rise and fall of each other, cost support still exists. And the factory is listed in a high position, and the attitude of supporting the market is obvious. The supply side is expected to increase the inventory, which is generally supported by the good; while the demand side is mainly contract procurement, and the spot just needs a small order to cover the position, which has strong resistance to high prices. BDO business analysts expect that in the short term, the domestic BDO market will still be high consolidation.