Analysis of the coating material market this week

01

Epichlorohydrin

As of February 18, the average price of epichlorohydrin companies was 10900.00 CNY/ton. During the Spring Festival, the production enterprises of epichlorohydrin basically maintained normal production, and the fundamentals changed little, which caused limited market fluctuations after the holiday. After the Spring Festival, with the gradual recovery of logistics, the return of downstream terminals and the consumption of downstream factories' inventory, the market's trading confidence has been boosted. The analysis believes that the raw material propylene is likely to continue to rise, and the cost pressure of epichlorohydrin is increasing. Although the production enterprises are mainly supplying contractors, most of the downstream solid epoxy resins are in a shutdown state, and the demand for raw materials is limited. There will be no obvious adjustments, or it will operate in large and stable small movements.

02

Bisphenol A

The bisphenol A market before the holiday ended with high prices, the spot circulation in the market was scarce, traders were not enthusiastic about shipments, the downstream epoxy resin orders were acceptable, and the enthusiasm for stocking was high. The price of bisphenol A was rising step by step. Crude oil continued to rise during the holidays. The macro view is acceptable, supporting the operator's mentality. The analysis believes that the bisphenol A market opens at a high level today, and the price needs to be clear after the market opens. As of February 18, the quotation reference is around 17,200.33 CNY/ton.

03

Epoxy resin

Statistics show that the domestic epoxy resin market prices have continued to rise recently. Year-to-date, the cumulative increase of East China liquid epoxy resin is approaching 30%. The analysis pointed out that before the Spring Festival, manufacturers had a stable mentality, and they still pushed up their quotations when the market replenishment declined. In the final analysis, the reason for this round of price increases is the tight spot and the better downstream demand. The analysis believes that: on the first working day after the holiday, the industry will return to the market one after another, but the market after the holiday is still unclear. Most of the industry chooses to wait and see, and they are cautious in their actual orders. So far, the negotiated price of liquid resin is RMB 27,900/ton, and the price of solid epoxy resin is 22,200/ton.

04

Titanium Dioxide

As of February 18, the price index of titanium dioxide was 16,761.28, an increase of 65.71 from the previous working day. The titanium dioxide market is welcoming a price increase before the holiday. After the holiday, companies have sent letters to increase prices. During the Spring Festival, individual companies have undergone maintenance. The market has started to decline and the supply of titanium dioxide has decreased. This plan has companies for maintenance after the Spring Festival. Due to more orders, temporarily Postpone the maintenance plan, the price will continue to run at a high level. The analysis believes that titanium concentrate prices are supported by high prices and downstream demand continues to be strong. If the market outlook no longer sees a sharp increase, or if the price rises again within 800 CNY/ton, the strong price of titanium dioxide is expected to continue until mid-May , Afterwards, there is a high probability of stable operation.

Anatase: 13,200-14500 CNY/ton
Sulfuric acid rutile type: 16,500-18300 CNY/ton
Chlorinated rutile type: 18000-20000 CNY/ton

05

PTA

As of February 18, the domestic PTA market price was 4,079.00 CNY/ton. This week, PTA fluctuated strongly under cost support. During the Spring Festival holiday, the cold wave in the United States led to a reduction in crude oil production in the United States. The European and American vaccines were actively promoted, and the geographical situation was unstable. International oil prices rose sharply. PTA was driven by the favorable cost side. After the holiday, PTA futures opened for a good start. The inventory of downstream polyester companies is still at a low level. Polyester and weaving companies are gradually resuming work. Some weaving and yarn mills have started operations during the holidays. Supply and demand are dually assisted, and PTA will show a strong trend. According to the analysis, the market will return to the market after the holiday and downstream and terminal work will resume. Although supply and demand continue to be loose, demand continues to improve, and the industry's mentality is improving. It is expected that PTA prices may continue to be strong.