Price of Polycarboxylic Water Reducer Monomers or Continued Pressure

Nowadays, the domestic market price of ethylene oxide has dropped by 500 CNY/ton. The market of polycarboxylic acid superplasticizer monomer is very anxious. Due to the low demand, most monomer factories have high inventory, and the wide drop of raw materials will surely drag down the price of monomer market. Most factories have difficulty digesting the high-cost goods and suffer serious losses.

dramatic evolution of raw material cost face negative drag

Entering May, ethylene market price in Northeast Asia slowly exploded, cost support in the face of ethylene oxide market was gradually strengthened. Although there was excess supply in some areas and rumors of market decline continued, after entering this week, ethylene market in Northeast Asia rose to 981 US dollars/ton, most industry said that there was a further upward trend in the ethylene market in the later period. The reason is that the actual purchase price is much higher than $1,000 per ton. This good news has boosted the sustained bearish market of ethylene oxide. There are signs of stabilization in this week's ethylene oxide market, and the trading atmosphere of Polycarboxylic Water Reducer monomer market is also gradually active. However, the indirect impact of the Sino-US trade war is imminent in most businesses'short-term stability. First, most commodities are under pressure, and the overall downstream demand is declining. Second, ethylene glycol, an ethylene oxide-related industry, has been declining broadly under the influence of external negative factors. By the end of the closing session, spot negotiations in East China's ethylene glycol market have dropped to 4250. About 300 yuan per ton, down from last week's close. The wide fall of ethylene glycol has dragged down the rumor of the decline of the ethylene oxide Market again. Today, the ethylene oxide market ushered in a drop of 500 CNY/ton. To date, Sinopec East China Sales Company has implemented 7 300 CNY/ton. The demand side of polycarboxylate superplasticizer monomer market is depressed, and the overall demand side of polycarboxylate superplasticizer monomer is weak in 2019. Although some good news came from the previous two sessions, the growth rate of demand in many areas is limited, especially affected by the downturn of the real estate industry. Most construction projects start slowly and the consumption of raw materials is limited as a whole. However, in the long-term negative background, some of the individual factories contracted with ethylene oxide still need to maintain normal operating rate, which leads to the high overall inventory of the individual under the pressure of freight. With the decline of ethylene oxide, the market of polycarboxylate superplasticizer has generally fallen by 300 CNY/ton. However, there is no obvious mitigation in the short term due to the imbalance between supply and demand. It is expected that the market price of polycarboxylate superplasticizer will continue to be under pressure, and most high-inventory factories will suffer serious losses.