DMF April monthly report ——DMF bottomed rebound affected by crude oil

NO.1 Market overview for the year

Domestic BDO Price Trend Chart 2018-2020

During the month of March and April, the focus of domestic DMF markets rose. After the return of Ching Ming Festival, Luxi chemical factory prices down, traders offer more with the factory price guidelines, local negotiations center of gravity slightly lower. However, as crude oil bottom rebound, the market mentality has been boosted, DMF downstream pesticide, pharmaceutical and other industries demand recovery, driving the market shipment improved, in the middle of the year, DMF factory inventory decline, coupled with individual factory export port, resulting in a reduction in domestic supply, the main factories continue to raise prices, downstream buying psychology to drive the procurement atmosphere is OK, the focus of market negotiations continue to rise, higher than the beginning of the month. In the late days, affected by the drop in crude oil, the market mentality has been suppressed, downstream pick-up mood is cautious, market volume has declined. DMF factory prices are also high and low, there is a certain price difference, the market continues to rise weak performance. At the end of the month, most of the mainstream factories keep their quotations steady, traders are cautious about the future market mentality, the offer remains high, and the market as a whole fluctuates little.

NO.2 Overall market analysis

1、Factory installation DMF this month

By the end of the month, the overall operating rate of domestic DMF enterprises was about 69%. Early in the year, Yangzi BASF 40,000 tons per year, Henan Junhua 30,000 tons per year plant resumed normal start-up, other parts of the factory start-up load has been increased, DMF the overall level of start-up in the industry has increased. At the end of April, Yangzi BASF's 40,000-ton/year plant is scheduled to stop and overhaul, with DMF operating rate expected to be between 65 and 70 per cent by the end of April.

2、Raw material cost and change analysis

Methanol: raw materials this month china's methanol market as a whole rose and then fell, at the beginning of the month some cities have been installed parking or negative news, the overall domestic start has been reduced, the supply side has a certain positive support, and the current price has been relatively low, cost side support superimposed good supply makes local manufacturers offer slightly firm, but downstream industry resistance to high prices gradually highlighted, supply and demand slightly deadlocked, poor shipping caused most of the mainland prices to move down wide.

3、Main downstream start-up analysis

This month, the domestic slurry market weakened, as raw material prices continued to fall in March, slurry manufacturers with the cost center of gravity decline. Slurry manufacturers were affected by weak terminal demand in the month, the level of start-up has declined, the market is still poor expectations for May.

4. Next month's Market Trend Forecast

NO.3 Views and Summary

Overall, the downward pressure on the global economy has not been alleviated, in the face of a large number of foreign trade orders cancelled, domestic demand will still take some time to warm up, with Zhejiang Jiangshan DMF equipment permanently shut down, DMF supply and demand pattern may change, the factory still has inventory digestion in the short term. But supported by factory inflation, the market is expected to rise DMF early may.