Recently, acetic anhydride has experienced another wave of price increases. Affected by the rising price of raw material acetic acid, acetic anhydride was quoted at 10,300 yuan/ton, exceeding the 10,000 yuan mark, an increase of 10.16% from the beginning of the month. Some manufacturers quoted prices as high as 11,000 yuan/ton, a record high.
It is understood that since the second quarter, many chemical companies have arranged shutdowns for maintenance, involving more than a dozen types of ethylene glycol, phenol ketone, methanol, butadiene, styrene, etc. Chemical raw materials. Some or all of the equipment of major factories have been shut down for maintenance, which has directly affected output and supply, worsening the situation in the chemical market that is already in short supply, and has also contributed to the upward trend in the prices of many chemical products.
1 Dozens of companies including Yanshan Petrochemical and LG Chem plan to shut down for maintenance in May
The 200,000 tons/year ethylene glycol unit of Lihua Yilijin Refining and Chemical Co., Ltd. plans to shut down for maintenance on May 1, which will last for one month.
Taiwan Nanya’s 1#360,000-ton/year MEG device will be shut down for maintenance for about 15 days at the end of May as planned. Taiwan’s 2#360,000-ton/year MEG unit will be shut down for maintenance for about 30 days at the end of May as planned.
Yanshan Petrochemical’s 300,000 tons/year phenolic and ketone plant will be shut down for maintenance on March 26 and is expected to be put into operation in mid-May.
Gaoqiao Petrochemical’s 250,000 tons/year phenol and ketone unit is scheduled to be inspected from May 6 to May 29.
Jilin Petrochemical’s phenol and ketone plant plans to shut down for maintenance in May, which is expected to last 45 days.
Taiyo Petrochemical (Japan Sun Petrochemical) has 300,000 tons/year pure benzene, 700,000 tons/year xylene, and 432,000 tons/year toluene. It is expected to be shut down for maintenance on May 21. Planned maintenance for 30 days.
Yanshan Petrochemical’s 180,000 tons/year old HDPE unit has been overhauled since the end of March and is expected to be shut down for maintenance until May 14; the 200,000 tons/year new HDPE unit has been overhauled since the end of March. It is expected to be shut down for maintenance until May 14; the 180,000 tons/year HDPE unit has been overhauled since the end of March and is expected to be shut down for maintenance until May 14.
The shutdown time of Fushun Petrochemical’s butadiene and downstream rubber equipment is determined to be around April 12, and the shutdown time is initially expected to be around 40 days.
The 2.2 million tons/year methanol unit supporting Ningxia Baofeng CTO is scheduled to be inspected for about 15 days in early May.
CNOOC’s 800,000 tons/year methanol unit is expected to be shut down for maintenance in May.
Jilin Petrochemical’s ABS equipment plans to shut down the entire line for maintenance from the end of May to early July.
Zhejiang Chuanhua’s 100,000 tons/year butadiene rubber plant plans to shut down for maintenance in May.
Yanshan Petrochemical’s 120,000 tons/year butadiene rubber plant plans to shut down for maintenance from April to May.
Fushun Petrochemical’s 200,000 tons/year styrene-butadiene rubber plant plans to shut down for maintenance from April to May.
Jilin Petrochemical’s styrene unit plans to undergo maintenance in May-June.
Fushun Petrochemical’s 60,000 tons/year styrene unit plans to shut down for maintenance for one and a half months starting in May.
The 500,000 tons/year styrene plant in Dagu, Tianjin plans to shut down for maintenance for about 20 days in May.
Shandong Yuhuang 2# styrene plant plans to shut down for maintenance for about 40 days from May to June.
Covestro’s 500,000 tons/year PC device plans to shut down for maintenance from April to May.
Shanghai Mitsubishi’s 100,000-ton/year PC device plans to shut down for maintenance in May.
Sinopec Mitsubishi’s 100,000 tons/year PC unit is scheduled to be shut down for maintenance from early April to mid-May.
Sinopec Mitsubishi’s 180,000 tons/year bisphenol A unit plans to undergo maintenance for 45 days from early April to mid-May.
LG Chem’s 450,000 tons/year bisphenol A unit plans to undergo a 15-day maintenance in May.
Kumho 450,000 tons/year bisphenol A plans to overhaul two lines in May (Line 2 plans to stop for 20 days from May to June).
The restart of Huntsman Europe’s 470,000-ton/year MDI plant in Rozburg, the Netherlands, has been postponed until May. The plant began maintenance in March.
BASF’s 300,000-ton/year TDI unit in Ludwigshafen, Germany, plans to enter the maintenance period from March to April. It is reported that the maintenance period will be about 2-3 months, and the scale of the maintenance larger. The device is currently operating at low load.
India’s Heldia 350,000 tons/year PP unit plans to shut down for maintenance from mid-May to mid-June.
India’s MRPL series product 440,000 tons/year PP unit plans to shut down for maintenance from early May to the end of May.
According to incomplete statistics, various chemical equipment of dozens of chemical companies such as LG Chem, Yanshan Petrochemical, CNOOC, Fushun Petrochemical, Sinopec Mitsubishi, etc. arranged shutdowns for maintenance or maintenance in May. In the period of maintenance. Industry insiders said that judging from historical data, the second quarter is the traditional peak season for maintenance, and May is the month with the highest intensity of maintenance. In addition, due to the tight supply of raw materials, some downstream companies have also chosen to reduce load and shut down production equipment due to lack of materials. The market inventory is further reduced, and raw materials are in short supply.
2 BASF and Chemours announced price increases, and many chemical raw materials are still expected to increase
Recently, chemical giant BASF announced that its kaolin business is increasing the price of its entire product portfolio by 10%. The price change is effective for all materials on or after May 1, 2021, or as permitted by the contract. Previously, titanium dioxide giant Chemours notified in early April that starting from May 1, the price of titanium dioxide will increase by US$200/ton (approximately RMB 1,313/ton). In addition, various chemical products such as pigments, resins, and TGIC have bullish expectations and may continue to rise in May.
Epoxy resin: Liquid epoxy resin is quoted at 40,000 yuan/ton – 41,000 yuan/ton. Since 2021, liquid resin in East China has increased by 86%. The price of solid epoxy resin is 36,000 yuan/ton, a record high. Some companies have closed their orders and are not quoting. Currently, if there is no goods, they have to wait in line for about a month, and full payment is required before production and delivery can be arranged. Strong overseas demand��The domestic offshore wind power industry has also taken advantage of the last year of subsidies to launch crazy projects. The supply of epoxy resin exceeds demand, and it is expected that there will still be arrangements for an increase in May.
Titanium dioxide: The price of titanium dioxide products has been raised by a total of 4,200 yuan/ton during the year, and orders are currently queued until June. China Nuclear Titanium Dioxide, the leader in titanium dioxide, said that due to the current reduction in the output of large foreign titanium dioxide manufacturers, the company’s sales of titanium dioxide in foreign markets have increased overall. This move has led to a smaller supply of titanium dioxide in the domestic market, and the supply has exceeded demand, causing prices to rise. In addition, titanium dioxide prices may rise further. At present, the titanium dioxide market has not ended its upward trend.
Pigment products: Already lined up. Since the beginning of the year, phthalocyanine blue pigments have increased by 8,000 yuan/ton, phthalocyanine green pigments have increased by 6,000 yuan/ton, and iron oxide pigments have increased by 200 yuan/ton. Prices range from -2,000 yuan/ton, and aluminum pigments have risen by a cumulative 3,200 yuan/ton. Orders for the first half of the year are now fully booked, and most companies are negotiating one by one. It is reported that there are still plans for an increase in May.
TGIC: TGIC is currently quoted at 58,000 yuan/ton, and some companies have quoted prices exceeding 60,000 yuan/ton, setting a new record high. The price increased by 7.14% during the year, an increase of 25% from last year’s low. At present, many companies have stated that they are out of stock and will ship according to the contract date. They will accept orders in May. Later prices will be negotiated one by one based on the order volume of downstream customers. There are still bullish expectations after May.
As the global economy gradually recovers, strong demand has led to unprecedented cost pressures in the manufacturing, labor and logistics fields. It is expected that this situation will be difficult to reverse after May in the second quarter. At the same time, the “out of stock” trend from the source is gradually spreading. Under the serious imbalance between supply and demand, the seller’s market trend has become prominent. There are also many speculation factors, which have increased people’s anxiety and queued up to buy. In the end, a closed-loop effect of “price increase-out of stock-further price increase” was formed. </p
