Editor’s note: The global epidemic is still spreading, and market sentiment is inevitably pessimistic. Demand in the downstream retail market continues to be weak, and many companies that have resumed work and production have insufficient supply of raw materials; midstream fabric companies have insufficient orders, and some companies’ foreign trade orders have been cancelled… A series of severe challenges brought by the new coronavirus epidemic to my country’s textile and chemical fiber industry are still ongoing. .
However, even in the face of such a complex, changeable and uncertain external development environment, some leading chemical fiber companies still achieved relatively steady development in the first quarter, and some companies even achieved high growth against the trend. , and handed over an excellent answer sheet of “focusing on epidemic prevention and control with one hand, corporate production with the other” and “wearing a mask for development”.
Behind every achievement this year, it means harder work and redoubled efforts than in previous years. On the one hand, this has strengthened the confidence of my country’s chemical fiber industry to continue to seek development. On the other hand, it also objectively demonstrates the enhanced development resilience of the chemical fiber industry. “
Hengyi Petrochemical Industry Chain Integration and Scale Benefits Are Prominent
In the first quarter, under the epidemic, international crude oil prices plummeted, and the downward price trend was transmitted downwards. The prices of corresponding products in the ester industry chain also fell sharply. During the period, the prices of WTI crude oil, PX, and PTA fell by 60.24%, 41.73%, and 33.53% respectively year-on-year. The prices of polyester products in China were also at a low level. At the same time, in March, Jiangsu and Zhejiang, China The comprehensive operating rate of regional looms is about 56.4%. The operating rate of the weaving industry is still insufficient. Upstream polyester companies are facing varying degrees of inventory pressure.
Take PTA as an example. According to relevant calculations, in the first quarter, China’s PTA supply reached 11.36 million tons, while demand was 9.67 million tons, and the accumulated inventory was 1.69 million tons, much higher than the same period in previous years. “In the first quarter, the average processing fee of China’s PTA was about 537 yuan/ton, basically at profit and loss margin. However, the situation of enterprises of different sizes is still different. For PTA devices with an annual production capacity of more than 2 million tons, there is still room for profit in processing fees, but for PTA devices with an annual production capacity of less than 1 million tons, the profit situation is not optimistic. Even at a loss. “Introduced by an industry insider.
However, under such a general situation, the first-quarter performance forecast recently released by Hengyi Petrochemical is very eye-catching. In the first quarter, Hengyi Petrochemical is expected to achieve the profit attributable to the parent company. Net profit was 650 million yuan to 800 million yuan, a year-on-year increase of 53.52% to 88.95%. As a leading enterprise in the PTA and polyester industry chain, Hengyi Petrochemical was able to withstand pressure in the first quarter and achieve reverse performance. The potential growth lies in its own excellent “internal strength” and the support of the Hangzhou Xiaoshan government’s series of preferential policies.
In terms of upstream raw materials, Hengyi Brunei Refinery The chemical project has been fully put into operation before. After it was put into operation, it has maintained stable high-load operation, smooth production and sales, and obvious advantages in technology and policies. The crude oil used in the Hengyi Brunei refining and chemical project is conveniently purchased, and the sales of refined oil are smooth, and low inventory has been implemented Management strategy and CIF crude oil price settlement model, which to a certain extent avoid the risk of crude oil price fluctuations.
In PTA and In the polyester segment, in the first quarter, Hengyi Petrochemical gave full play to its endogenous power and production and operation advantages, and actively took a series of effective measures to expand production and improve the quality of the polyester segment, tap the potential and transform the PTA business, upgrade production processes and technologies, and increase Intelligent and big data applications further improve production and operation efficiency. The company has also increased investment in technological research and development to improve the proportion of differentiated products, product added value and product profitability. Moreover, due to the loose supply of upstream raw materials for PTA and polyester products, Hengyi Petrochemical’s market share continues to grow, and its product bargaining power has increased, which has promoted the increase in gross profit margin. In addition, the equipment continues to operate at high load, and production and sales have increased year-on-year. Hengyi Petrochemical’s market share has continued to grow. The advantages of large-scale petrochemical production are becoming increasingly obvious.
The reporter learned that the PX produced by Hengyi Brunei Refining and Chemical Project has begun to be supplied at the Hainan PTA production plant this year, and the effect of Hengyi Petrochemical’s promotion of the integrated development of the industrial chain has gradually emerged. In addition, the local government of Xiaoshan has also taken many measures to benefit enterprises, such as reducing electricity bills, reducing or exempting social security expenses, waiving bridge tolls in logistics and transportation, and issuing special epidemic prevention loans, which have effectively reduced the operating costs of enterprises.
“The impact of the epidemic on my country’s economic development is short-term, and the difficulties faced by enterprises are also temporary. Next, Hengyi Group will work hard to complete the full-year goals and tasks.” Talking about the next steps of Hengyi Group Regarding development ideas, Qiu Jianlin, chairman of Hengyi Group, said that during the year, Hengyi Group will continue to adhere to the development idea of ”strengthening the headquarters internally and expanding the base externally” and vigorously promote the construction of the second phase of Brunei projects and domestic established projects.Before wind power carbon beam products were developed in the global market, not many people in my country cared much about or had a deep understanding of the market prospects of large-tow carbon fiber. However, in recent years, Guangwei Composite Materials’ performance in the field of wind power carbon beams is obvious to all. Under its driving effect, large-tow carbon fiber has become a new investment hotspot in the domestic carbon fiber market. Since this year, Shanghai Petrochemical and Lanzhou Blue Star Fiber have announced new large-tow carbon fiber projects. At present, although everyone is not sure how long the impact of the epidemic will last, we can be sure that the impact of the epidemic on the development of the industry will only be temporary, and we are also confident about the prospects of large-tow carbon fiber in the civilian market. It can be said that with the innovation and expansion of the downstream application market, the further expansion of the overall production capacity scale, and the demonstration and driving effects of leading enterprises, my country’s carbon fiber industry will increasingly show the vitality that a strategic materials industry should have. “An industry insider told reporters. </p
