Epoxy Resin: The Market Will Rise Slightly After The Year!

Previous situation review

  This week, the focus of the domestic epoxy resin market rose. After the festival, the dual raw material market ushered in a good start, bisphenol A continued to rise due to cost support, and the epichlorohydrin market rose slightly. In the early stage of the market after the holiday, there was a strong wait-and-see atmosphere in the epoxy resin market, with producers and traders mainly stabilizing prices, and downstream markets returning slowly, and the market trading atmosphere was flat. However, with the rising price of raw materials, the pressure on the cost of resin has increased, and the manufacturers have increased the ex-factory price. The focus of market negotiation has increased, and the downstream has returned to the market. The small orders entering the market just need to be prepared, the market delivery has gradually increased, and the real orders are mainly negotiated.

  As of February 3, the mainstream negotiated price of liquid resin market in East China was 16300-16500 yuan/ton, up 800 yuan/ton from last week; The mainstream negotiated price of the solid resin market in Huangshan is 14700-14800 yuan/ton, up 400 yuan/ton from last week.

Main market influencing factors

Raw material

  Bisphenol A: After the festival, the domestic bisphenol A market rose and fluctuated, which was higher than that before the festival. After the festival, the market of bisphenol A was not guided by news at the beginning, and then the price of bisphenol A rose for two consecutive days with the high price of the raw material phenol acetone. The market mentality of bisphenol A rose and the willingness to stand up increased; The offer of some manufacturers was raised, and the middlemen followed up. The downstream epoxy resin PC rose, and the whole line rose. Later, as the rise of phenolic ketones weakened, the market wait-and-see sentiment increased, and as the end of on-site procurement, the market rhythm slowed down, shipments were not smooth, and local markets fell. In terms of devices, the industry operating rate was 76% this week. As of February 3, the mainstream negotiated price of bisphenol A in East China was 10200-103000 yuan/ton, 375 yuan/ton higher than that of last week.

  Epichlorohydrin: the domestic epichlorohydrin market rose slightly this week. After the Spring Festival, there is no obvious news guidance in the venue, and the venue is mainly wait-and-see. And because the trend of raw materials rebounded during the holiday, the cost support was good, the market spot supply was not pressured, and the market was positive, but the downstream market return after the holiday was insufficient, so the wait-and-see was mainly used to restrain the rebound space of epichlorohydrin. Near the weekend, the expected increase of market supply and the news of low price pre-sale put pressure on the market. Although the downward signals were released in succession, the market was mainly wait-and-see and did not see a large volume. In terms of devices, the industry's operating rate was about 52% this week, and the operating rate rose. As of February 3, the main negotiated price of epichlorohydrin in East China was 9000-9100 yuan/ton, up 100 yuan/ton from last week.

Supply

  This week, the liquid resin load in East China increased, and the overall operating rate was 52.8%. Most of the liquid plants in the site operate stably, some of the starting loads rise, the supply of goods is sufficient, and the supply of manufacturers is mainly contract users.

Demand

  After the festival, the downstream demand increased slowly, and the overall follow-up was insufficient. As the price rose, the downstream market returned to the market in succession, mainly for replenishment in demand, and the information on actual orders was limited.

Aftermarket forecast

  On the whole, the cost support of bisphenol A and epichlorohydrin is limited, and the market supply is sufficient. Although there is a strong sentiment, the downstream demand has not been followed up in time, and the market negotiation focus is limited. It is expected that the epoxy resin market will adjust in a narrow range, and the follow-up needs to pay attention to the upstream and downstream market dynamics.

  As we know, epoxy resin is the main raw material of FR4 sheet and 3240 Epoxy Resin Sheet, so we need to pay much attention on every news about epoxy resin.