Silicone downstream companies are increasingly sentimental about falling prices. Is this the end of price increases?

Last week, the silicone market was weak and maintained stable operation. Enterprise quotations were mostly stable. Blue Star resumed normal operations. Shandong Dongyue and Zhejiang Zhongtian enterprises stopped for maintenance for about 15 days. Zhejiang Xin’an line merger has been completed and trial runs have begun. The overall supply level of the market has increased slightly. Most downstream businesses maintain on-demand procurement. With the arrival of winter, demand for products such as room-temperature adhesives is sluggish, the market is shrinking, and downstream sentiment is increasing.

Shandong region: Shandong Dongyue has been stopped for maintenance; about 80% of the construction has started in Shandong Luxi; about 80% of the construction has started in Jinling, Shandong.

Jiangsu and Zhejiang regions: Zhejiang Xin’an Chemical Maitu unit started trial operation; Zhejiang Hesheng is operating normally; Hubei Xingfa Technology During the implementation of the reform plan, the equipment will be mainly inspected in turns, with one on and off at the moment.

Other regions: Jiangxi Blue Star is 80% operational; Tangshan Sanyou is unstable; Inner Mongolia Hengyecheng is operating normally and has started construction About 70%.

DMC: Last week, the domestic DMC market continued to be stable, Jiangxi Blue Star resumed normal operation, and individual companies Overall construction starts increased. The price support of raw material products such as silicon metal and methyl chloride is obvious. Currently, the price of synthetic methyl chloride in Shandong enterprises has risen to a high of 6,400 yuan/ton due to the start-up of organic silicon companies. The price of raw material silicon metal is weak and stable, and there is insufficient motivation for price increases. The bearish mentality in the downstream is obvious, with more on-demand purchases and low inventories. During the week, scattered quotations from DMC companies were delivered at 30,500-31,000 yuan/ton of purified water including tax, and the firm price would be reduced by 500-1,000 yuan/ton.

107 glue: Last week, the domestic scattered offers for 107 glue ran smoothly, and the phenomenon of enterprises holding back the market and reluctance to sell was reduced, and the price Become more rational gradually. Downstream room temperature glue production and sales are still optimistic, and the rigid demand for 107 glue is still sufficient. However, in the face of a market that maintains stability at a high level, downstream caution has increased, and market hoarding is less likely to occur. Last week, the domestic market price of 107 rubber was mostly between 31,000 yuan and 31,500 yuan/ton. Dow Corning traders quoted a self-imposed price increase of 35,000 yuan/ton.

Raw rubber: Last week, the domestic raw rubber market remained stable. The intensity of new business orders dropped, and some companies’ actual transaction prices fell. The price of raw material DMC is generally stable, with only the transaction prices of large households falling within a narrow range, and the support for raw rubber costs is stable. Shandong Dongyue and Zhejiang Zhongtian plants have been shut down, and the supply level of the raw rubber market has declined again. Last week, scattered quotations in the domestic raw rubber market were at 31,000-32,000 yuan/ton with packaging and tax included.

Compound rubber: The rubber compound market remained stable and weakened during the week.OK. At present, raw rubber and 107 rubber prices in the upper reaches of raw material prices remain high, and companies mostly purchase on demand. Downstream demand is mostly stable, and the shortage of rubber compound supply has eased. Faced with the weakening market trend, industry players have adopted a cautious wait-and-see attitude. Companies mostly produce according to orders, and the market supply remains stable. Most rubber compounding companies ship goods at stable prices. Last week, the mainstream transaction price of conventional hardness silicone rubber compound was around 27,000-28,000 yuan/ton.

Metal silicon: The domestic silicon metal market price was stable last week, and the market as a whole showed a stalemate. The average price of oxygen-impermeable 553# metallic silicon is 12,500-12,700 yuan/ton, and the average price of 441# metallic silicon is 13,900-14,300 yuan/ton. Because the dry season is approaching, domestic silicon metal manufacturers have a strong intention to raise prices, but downstream companies have limited purchasing enthusiasm and mainly procure as they are used.

Silicone Oil: The price increase in the domestic methyl silicone oil market has been suspended, and the market’s upward momentum is obviously insufficient. Although the market quotation remains high, Stable, but some traders have a strong bearish attitude toward the market outlook and adopt low prices to increase volume. Domestic methyl silicone oil companies mostly maintain orders and do not accept new orders for the time being, and prices are still closed. It is reported that the quotations from WACKER and Dow Corning agents have remained stable. Last week, in the domestic methyl silicone oil market, WACKER’s agent price was around 35,000 yuan/ton (tax included, cash price will be raised automatically), and the mainstream price quoted by Dow Corning agents was 36,000-37,000 yuan/ton (tax included, self-raised price).

With the advent of winter in November, the downstream demand in the domestic silicone market is light. The northern region has entered winter, and the demand for products such as room temperature adhesives has been sluggish. At the same time, during the heating season, the country’s requirements for comprehensive atmospheric management in autumn and winter are still normal, which will have a certain impact on the start-up and logistics transportation of domestic silicone and downstream products. Downstream companies are mainly bearish, and some downstream customers have turned to passive purchases, waiting for corporate offers to fall back. It is expected that the organic silicon market price will fall slightly starting next week.