1、 Price trend

According to the business club’s big list data, aniline prices run this week. On December 13, the price of aniline in Shandong was 7600-7700 yuan / ton; in Nanjing, it was 7900-8000 yuan / ton; on December 20, the price in Shandong was 7600-7700 yuan / ton; in Nanjing, the price was 7900-8000 yuan / ton, with an average price of 18.07% higher than last week.

2、 Analysis and comment

In terms of cost, the price of pure benzene fell this week due to inventory pressure and the weakness of styrene. However, the overall positive news of benzene and styrene in the lower end of the week weakened. This week, Sinopec’s listed price of pure benzene remained stable at 4600 yuan / ton, which was higher than the local refining price. On Monday, the total inventory of pure benzene in East China port decreased by about 11000 tons compared with last week. This Sunday (December 20), the price of pure benzene was 4170-4600 yuan / ton (average price was 4486 yuan / ton), down 70 yuan / ton or 1.54% from last week.

The price of nitric acid this week was higher than that of last week. On Friday (December 18), the production price of nitric acid in East China was 2066.67 yuan / ton, which was 166.67 yuan / ton higher than that of last Friday, or 8.77%. Compared with the beginning of the month, it increased by 266.67 yuan / ton, or 14.82%. 29.17% higher than the same period last year

Affected by environmental protection inspection last week, Jinling and Huatai aniline plants in Shandong Province were put into operation with reduced load. New market supply decreased and prices rose. Aniline prices in East China followed. This week, aniline market supply is stable, downstream purchase is stable, stable price operation.

3、 Future expectations

In terms of cost, we should pay attention to the change of demand side of plant restart, and styrene should pay attention to the arrival of imported ships in the later stage. In December, new production capacity is expected to enter the downstream, and the demand for pure benzene may increase. The listed price of Sinopec is higher than that of local refining, and the market is waiting for its price guidance. Next week, near the end of the month, focus on the next month’s contract price negotiations. It is expected that benzene will recover slightly next week.

At the end of December, we should pay attention to the future trend of raw material pure benzene; in terms of supply, we should pay attention to the operation load and maintenance plan of the plant; on the demand side, we should pay attention to the purchase of downstream additives and MDI. Aniline prices are expected to be strong next week.