Pure benzene prices continue to rise

In early June, the pure benzene market continued to pick up. The reference price on June 11 was 3750 yuan (ton price, the same below), up 24% from the beginning of May.

The rise in the pure benzene market was mainly due to the improvement of the macroeconomic situation. In the near term, with the overall upward trend in oil prices and the acceleration of overseas resumption of production and production, the external price of pure benzene is firm, which is expected to drive the domestic pure benzene market to run strongly.

The pure benzene market's rising momentum mainly comes from cost-end crude oil. Crude oil is the source of the chemical product system, and its market fluctuations directly affect the price of naphtha, which in turn affects the pure benzene market. In May, the oil-producing countries continued to promote production reduction activities, and at the same time, terminal demand also showed signs of recovery. These two factors led to an overall increase in international oil prices. In May, the price of Brent oil rose by US$14.71 per barrel, an increase of 74.78%; the price of WTI oil rose by US$13.99 per barrel, an increase of 64.03%. In view of the market outlook, OPEC member countries and some non-member countries have unanimously extended the current crude oil production reduction agreement to the end of July. It is expected that the short-term crude oil prices will still rebound oscillatingly, which is expected to bring cost support to the pure benzene market.

With the gradual relaxation of the overseas epidemic blockade measures, the international refining and chemical products market has generally picked up, and the prices of pure benzene outer disks have also fluctuated and increased. In May, South Korea's imports of pure benzene rose by US$74.33, or 22.96%; East China's imports of pure benzene rose by US$66, or 19.35%. On June 10, the reference price of pure benzene in the Korean market was 443.83 US dollars, an increase of 45.83 US dollars from the beginning of June, an increase of 11.5%; the reference price of pure benzene imports in East China was 449 US dollars, an increase of 42 US dollars from the beginning of June, an increase of 10.3%. With the accelerated pace of overseas resumption of production, the terminal consumer market has further recovered, and the pure benzene outer disk market is firm, which is expected to further drive the domestic pure benzene market to strengthen.