daily 21, East China butadiene prices continue upward, offer reference price of 19000 yuan per ton. 20, Northeast China manufacturers and Sinopec butadiene quotation to rise sharply, the market rose nearly 9% this year, the cumulative increase of up to 225%.

At present, butadiene market supply can be sold less, imports of limited supply, holding the goods sell mentality significantly.

The latest price dynamic display device of Fushun Petrochemical 140 thousand tons / year butadiene at normal operation, a small amount of export, 20 price hike of 1000 yuan per ton, the price of 16800 yuan per ton for execution. Sinopec East China sales company of Yangzi Petrochemical, Shanghai petrochemical and Zhenhai butadiene execution price 15800 yuan per ton.

Market

The supply of butadiene market in Shandong area are scarce, part of the offer in 18300 yuan per ton, although there is a small amount of supply to the downstream suppliers export factories, but the circulation of supply shortage, the market performance of firm. East China butadiene prices continue upward, middlemen cover difficult shipments lower intentions. In addition, affected by the weather, the Northeast transportation supply cycle lengthened, some traders offer up, shipping intention is not high, the market mentality is good.

Device

Shandong Huayu butadiene plant by the upstream, low load operation from December 17th, to suspend the export. Shanghai SECCO planned maintenance plan started in November postponed to March next year to April, Kuwait chemical plant is still in the parking. Beijing Oriental butadiene plant shut down for maintenance, driving time is uncertain. Butadiene for Shandong jade 100 thousand tons / year, the restart time undetermined. The relevant manufacturers is expected to promote the short term stock market and low device maintenance and other factors, the industry is expected to continue to improve profitability of butadiene.

Demand

The main application field of butadiene synthetic rubber by the automotive industry needs a greater impact, to enhance the amount of sustained growth will drive the demand of automobile tires and rubber. At present, the domestic demand of synthetic rubber, dependence on imports amounted to 30%, high-end rubber products more tight, it will play an important supporting role of butadiene.

Fundamentals

Deputy product is currently more than 95% of the global butadiene from ethylene plant. For businesses, effects of ethylene on the performance of the product is far greater than the butadiene production enterprises pay more attention to the market supply and demand of ethylene and propylene. In addition, the output rate of different butadiene feedstock vary greatly, the raw material is heavy, the higher the rate of butadiene production. Brokerage Research Report data show that the naphtha feedstock each producing 1 million tons of ethylene as by-product of butadiene production of about 157 thousand tons, while production of butadiene ethane correspond to only 17 thousand tons, a difference of nearly 10 times.

In recent years, the U.S. shale oil and gas sustainable development caused by ethane production in the price decline, leading to global preparation of ethylene raw material change, light feedstock will lead to reduced supply of butadiene. Ethane cracking device in the United States will enter into the peak, from 2017 to 2020 is expected to increase 13 million 570 thousand tons of ethylene production capacity of 230 thousand tons / year, but only the corresponding theoretical yield of butadiene. The future of global new ethylene plant in light of raw materials will be in a dominant position. Lightweight materials with ethane as the representative of ethylene will gradually squeeze naphtha cracking process, the future will continue to tight supply of butadiene.