As the epidemic becomes increasingly serious, the market’s urgent need for epidemic prevention materials has triggered a rebound in the price of meltblown materials! The prices of ExxonMobil 6936G2 and Basel 650Y (South Korea and the United States), the star meltblown materials sought after by the market, have increased recently.
The survey shows that the market price of Basel 650Y was 12,000 yuan/ton a month ago. Recently, the market price has reached 15,000 yuan/ton, making it difficult to find a single product in the market. The average market price of ExxonMobil 6936G2 has also increased from 12,000 yuan/ton in the past few days to the current 13,500 yuan/ton. Merchants are reluctant to sell, and it is expected to rise to 18,000 yuan/ton in the future.
Why the market is optimistic about these two products, ExxonMobil PP6936G2 and Basel MF650Y (South Korea and the United States), because they are both metallocene processes and do not contain peroxide.
Why did the imported meltblown material suddenly rise by 2,000~3,000 yuan? It is understood that the domestic dealers of ExxonMobil and Basel are currently not placing orders from foreign manufacturers due to financial constraints or the impact of epidemic research and judgment.
These dealers imported these meltblown materials in large quantities from April to June 2020, resulting in a large amount of inventory in the market. At that time, the cost per ton of air freight for these dealers was 22,000, and the cost per ton of sea freight was 18,000. . From January to March 2020, the price of imported ExxonMobil meltblown materials was as high as 60,000 per ton, and dealers who entered the market early had huge profit margins.
However, the market began to decline sharply in May 2020. Imported meltblown materials have been hovering at a low of 12,000 yuan/ton for about half a year. Businesses that entered later have basically suffered serious losses.
Some industry insiders analyze that the current social inventory of imported meltblown materials is running at a low level, global shipping is tight, and no new goods are coming in, so it will continue to rise in the future.
In addition, domestically produced melt-blown materials are also rising, with the price increased by 200-500 yuan/ton. According to the survey, the meltblown materials of Korea Dawn and Kingfa Technology have risen to 12,000 yuan/ton, and Shandong Dawn has raised prices by 11,500 yuan/ton, and orders from the Longkou factory have been scheduled for mid-February.
For specific analysis of the reasons for the increase, please refer to the following content:
Rising prices of raw material PP
The PP market is generally rising. At present, the cost side of PP has strong support. PP futures have rebounded continuously recently, with an intraday increase of more than 3%, which has greatly stimulated the spot price of PP; petrochemical ex-factory prices have increased across the board, and inventory pressure has not yet appeared. Masks have driven a surge in demand for fiber materials, etc., and spot prices have increased across the board. Go higher. At present, the mainstream price of wire drawing in North China is 8,000-8,200 yuan/ton, the mainstream price of wire drawing in East China is 8,150-8,300 yuan/ton, and the mainstream price of wire drawing in South China is 81,500-8,300 yuan/ton; the mainstream price of polyurethane wire drawing in North China is 8,000-8,200 yuan/ton, and the mainstream price in East China The price is 8150-8300 yuan/ton, and the mainstream price in South China is 8100-8300 yuan/ton.
PP futures continue to rebound, and there are signs of an upward breakthrough. After experiencing a continuous rebound last week, PP accelerated its rise this week, with an intraday increase of more than 3%. At present, PP is increasing its position, and the five-day moving average has strong support. In addition, there is a mask theme, and the multi-equity attribute has once again appeared. It is expected that PP is expected to continue to rise.
Upstream raw materials
Recently, Guangzhou Petrochemical Third Line, Wuhan Petrochemical, Shijiazhuang Refining and Chemical Co., Ltd. was shut down, and Lanzhou Petrochemical’s old line was restarted after being shut down. The PP operating rate dropped slightly and is currently around 93.5%. However, considering the increase in production capacity base, the absolute supply of PP is still large. While the operating rate has increased, new devices such as Yantai Wanhua have been put into production one after another, and supply pressure has not diminished.
PP’s recent positive momentum continues to ferment, and a rebound trend has basically been established. Although there is a certain pressure on the supply side, petrochemical stocks have not yet been significantly exhausted. On the one hand, the current benefits come from the demand side. Under the background of the epidemic, the demand for masks has increased significantly, fiber materials have been sold well, and the price surge has driven the entire PP market to rebound. On the other hand, PP profits have sharply compressed some process losses, and cost support has been strong. However, in the long run, the supply pressure of PP will be great, and strong demand may be difficult to maintain in the long term. It is expected that PP will have downward pressure in the long term, but it is expected to continue to rebound in the short term.
Recurrent epidemics have led to a sharp increase in demand for masks
As of 24:00 on January 19, domestic production in 31 provinces (autonomous regions, municipalities directly under the Central Government) and Xinjiang The Construction Corps reported that there are 1,473 confirmed cases (including 62 severe cases), a total of 82,449 cured and discharged cases, a total of 4,635 deaths, a total of 88,557 confirmed cases reported, and no suspected cases. A total of 944,196 close contacts have been traced, and 34,966 close contacts are still under medical observation.
A total of 10,634 confirmed cases have been reported from Hong Kong, Macao and Taiwan. Among them, there are 9,720 cases in the Hong Kong Special Administrative Region (8,828 discharged, 165 deaths), 46 cases in the Macao Special Administrative Region (46 discharged), and 868 cases in Taiwan (766 discharged, 7 deaths).
Zhanggong District: At full capacity 24 hours a day to ensure the market supply of masks
It is understood that recently, in the production workshop of Ganzhou Tian’ao Electronic Equipment Co., Ltd. in Qingfeng Yaogu, Zhanggong District, two automatic mask production lines are running at high speed, and each mask is quickly produced fromIt pops up from the conveyor belt, and workers are racing against time to ship the goods.
The relevant person in charge of the company, Zhang Xingzhi, said that since the end of December last year, the demand for mask orders received by the company has shown a exponential growth trend. In order to adapt to changes in market demand, the company has introduced a series of advanced equipment. Adopting a three-shift system and implementing 24-hour day and night production, the current daily production capacity of masks can reach 300,000 pieces, and the inventory is maintained at about 2 million pieces, which can basically meet market demand.
We will adjust the production line in real time according to domestic epidemic prevention and control needs, make every effort to solve the shortage of raw materials such as nose clips and ear-wearing wires, continue to increase mask production capacity, and ensure stable market supply. “Zhang Xingzhi said.
It is understood that companies such as Tiangao Medical, Hanpu Medical, and Xingzhen Technology have deployed 17 mask production lines and 3 forehead thermometer production lines, with a daily production capacity of approximately 700,000 masks. 5,000 forehead thermometer guns to ensure market supply.
Lidu Town: Step up production of medical protective materials to fully meet epidemic prevention needs
In Lidu, Jinxian County In the 100,000-level purification workshop of Jiangxi Yikang Medical Equipment Group Co., Ltd. in the town, the shaped masks on the production equipment conveyor belt are flowing into the next process like water; workers wearing masks and protective clothing are stepping up their efforts to clean the masks in an orderly manner. It is sterilized and sealed, then packaged and sent to all parts of the country. There is a busy scene in the workshop.
Jiangxi Yikang Medical Equipment Group Co., Ltd. is located in Lidu Town A large enterprise specializing in the production of a series of disposable sterile medical devices, it has a daily production capacity of more than 30,000 masks and thousands of protective clothing. Facing the severe situation of epidemic prevention and control at home and abroad, in order to support domestic epidemic prevention work, To fully ensure the market supply of anti-epidemic masks during the Spring Festival, the company further expanded its production capacity and output, stepped up the production of medical masks and other anti-epidemic materials, and prioritized ensuring domestic epidemic prevention needs.
“During the Spring Festival, there is a large flow of people, and the demand for masks increases. Big, in order to prevent a shortage of masks this year, the town contacted our company in advance. We hope that we will conduct a risk assessment based on market rules and needs, and put more medical masks into the local and domestic markets to meet various epidemic prevention needs during the Spring Festival. , fully support the country’s epidemic prevention and control work.
Dingzhou Baota Medical Equipment Co., Ltd. has recently provided 2.15 million medical masks to Shijiazhuang
Hebei Baota Medical Equipment Co., Ltd. is a company specializing in R&D and production of medical protective equipment. , surgical wound debridement, neonatal care, home protection, adhesive and other series of medical consumable products, the “Pagoda” brand has a history of 66 years. Since the epidemic prevention and control in 2020, the company has produced a total of 50 million masks, provided 2.049 million masks to central collection and storage units, 5 million masks to provincial collection and storage units, and 6 million masks to municipal disease control.
The epidemic is approaching fiercely. While strictly following the requirements for epidemic prevention, the company has worked overtime to produce masks, with a daily output of 1 million to ensure market supply. From January 3 to 9, 2021, 2 million surgical masks and 150,000 medical protective masks were provided to Shijiazhuang. In order to support epidemic prevention and control, Baota Medical donated 100,000 surgical masks, 300,000 medical masks, and 10,000 medical protective masks to Shijiazhuang through Shenwei Pharmacy Chain Co., Ltd. and Sinopharm Lerentang Pharmaceutical Chain Co., Ltd., with a total value of 655,000 yuan.
As for the demand for masks in foreign countries, it is even greater. my country is the largest exporter of medical supplies such as masks. Nearly 90% of supplies in European countries come from China, and Europe has the largest demand for masks.
According to data released by the European Union, in the first six months of 2020, they spent 14 billion euros ordering various types of masks from all over the world, of which about 92% of the masks were imported from my country. , planes loaded with masks and other supplies leave our country almost every day.
Land transportation, sea transportation, and air transportation costs have all risen sharply
According to CCTV Financial reports, due to the surge in electricity consumption this winter, coal has become the source of power for power plants. , supply exceeds demand. Changes in the market supply and demand relationship directly drive the output and price of coal, and the shortage of trucks directly leads to the increase in freight costs.
Industry insiders said that the efficiency is now much better than before, and the freight cost of coal per ton has increased by more than ten yuan.
Electricity consumption has surged this winter, and many provinces have adopted “power rationing” measures to restrict industrial power consumption. This may reduce chemical production at the end of the year and indirectly promote chemical price increases.
Another big news is that CMA CGM will directly stop accepting bookings from Asia to Europe in the next three weeks, and temporarily suspend bookings on the Asia-Northern Europe route in weeks 49, 50 and 51. The European line has basically completed bookings for this year.
In recent months, due to the uneven global economic recovery, the rebound of the epidemic in many countries, and the arrival of traditional transportation peak seasons such as Christmas and New Year, many ports in Europe and the United States have There is congestion, and many domestic ports are in dire need of containers.
Under such circumstances, many large shipping companies have imposed congestion surcharges, peak season surcharges, shortage fees and other surcharges.
Following the further surge in freight rates on European and Mediterranean routes last week, data showed that China’s export container shipping market performed stably this week, and transportation demand remained stable. Freight rates rose in most route markets, driving the composite index to rise. .
Currently, the social inventory of imported meltblown materials is running at a low level. Due to repeated epidemics, blizzard weather, and tight global shipping, there are no new goods coming in, so we are still optimistic about the rise in the future.
The arrival of traditional peak transportation seasons such as Christmas and New Year has led to congestion in many ports in Europe and the United States, and there is an extreme shortage of containers in many domestic ports.
Under such circumstances, many large shipping companies have imposed congestion surcharges, peak season surcharges, shortage fees and other surcharges.
Following the further surge in freight rates on European and Mediterranean routes last week, data showed that China’s export container shipping market performed stably this week, and transportation demand remained stable. Freight rates rose in most route markets, driving the composite index to rise. .
Currently, the social inventory of imported meltblown materials is running at a low level. Due to repeated epidemics, blizzard weather, and tight global shipping, there are no new goods coming in, so we are still optimistic about the rise in the future. </p
