Views:2 Author:Site Editor Publish Time: 2019-11-18 Origin:Site
Xinhua News Agency, November 7 news, since mid-October, China's 1,4-butanediol (BDO) production has steadily increased, which may suppress market sentiment at the end of the year.
An Xunsi data shows that as of the week of November 5, the average operating rate of China's BDO factories was 65.4%, higher than the 61.1% the previous week. For most of the period from July to the first half of October this year, the average operating rate of Chinese BDO plants has been between 50% and 60%.
According to data from An Xunsi, in the Chinese market, the price of BDO remained stable during the week ending November 5 at 8900-9400 yuan/ton (DEL). After rising for two consecutive weeks, further price increases were halted due to the buyer’s indifferent response to producers’ continued price increases. In the import market, the price of BDO bulk cargo is stable at 1280~1350 US dollars/ton (CFR, China’s major ports), while the price of BDO barrel cargo is stable at 1380-1450 US dollars/ton (CFR, Southeast Asia).
Due to the low demand season, the demand for the key polybutylene terephthalate (PBT) and polytetramethylene ether glycol (PTMEG) downstream of BDO is expected to gradually decrease by the end of the year. According to data from An Xunsi, in the PBT import market, during the week ending November 5, PBT prices remained at US$1.23~1.30/kg (CIF, Northeast Asia) and US$1.24~1.30/kg (CIF, India). Overall PBT demand may be dampened by the slowdown in demand from key end-user automotive industries.