Short-term ethylene glycol market expected to be weak and consolidating

Yesterday's market shocks down, the general atmosphere of negotiation, the actual transaction stalemate, East China market closing prices at 4050-4060 yuan / ton near.

The market is still in a state of flux, with the market in the midst of the collapse of the Silicon Valley Bank and the recessionary fears raised by inflation data, and oil prices in Europe and the US falling by more than 4% on March 14. April WTI: 71.33 down 3.47 or 4.64%; May Brent: 77.45 down 3.32 or 4.11%.

Supply: In terms of domestic supply, ZPMC's plant to raise the load plus some coal syngas plants restarted leading to domestic supply also showed an increase in trend. Overseas imports, with the increase in Iranian sources and the United States South Asia plant to be opened at the end of March, imports will be further enhanced to 560,000-580,000 tons / month range.

Demand: Downstream polyester start-up rate rose to a high of 89%, polyester traditional peak season under the rigid demand stability.

Forecast: Overall, crude oil prices plummeted, supply increment, downstream polyester rigid demand, the short-term glycol market is expected to be weak and consolidating.