The price focus of PVC paste moved down in May

Introduction

In May, the price focus of domestic PVC paste continued to move downward. Although the demand side improved month on month, it was still significantly weaker than that in the same period of previous years, which was one of the factors affecting the price decline in the month.

In May, the price focus of domestic PVC paste continued to move downward. The average monthly price of large-scale materials delivered to the East China market was 10082 yuan / ton, down 3.50% month on month. The average monthly price of glove materials delivered to the North China market was 10442 yuan / ton, down 2.76% month on month. In May, PVC paste was still based on basic operation logic. As the output increased significantly in May, the pressure on the supply side gradually increased. In addition, weak demand side performance is also one of the factors affecting the downward trend of prices in the month.

PVC paste is mainly divided into glove material and large plate material due to different uses. In May, the demand for glove materials declined slightly. Although the demand for large-scale materials increased slightly month on month, it still showed a weak performance year on year. Next, we will look at the demand changes from the two uses.

The start-up of glove products industry declines, and the demand for glove materials weakens

From the start-up of glove products enterprises in May, due to weak demand for some overseas orders and low order prices, individual product orders were also replaced by nitrile gloves, resulting in a decline in the start-up enthusiasm of PVC glove products enterprises. The start-up number of glove products in May was nearly 100 less than that in April. The demand for PVC paste glove materials was mainly just for purchasing, because some product enterprises were weak in the future market, Therefore, the inventory cycle of raw materials preparation is also shortened, resulting in a month on month decline in the demand for glove materials in May.

The downstream performance of large inventory is uneven, and the overall demand is weak

From the demand performance of large-scale materials, the overall demand of the downstream terminals of large-scale materials in May was better than that in April, but the demand was still 40-50% lower than that in the same period last year. The toy industry is mainly concentrated in the East and South China markets. The order receiving situation of some terminals in May was slightly better than that in April. The orders of domestic demand and foreign trade increased slightly, but it was still significantly weaker than that in the same period of previous years. Therefore, in May, for the procurement of large-scale materials, it was mainly just needed procurement, and some were prepared appropriately on bargain hunting, but the raw material inventory cycle was short.

Compared with April, the start-up of coated cloth industry in May increased slightly, but the increase was limited. In May, some coated cloth products enterprises began to receive export orders one after another, but the order price was not ideal. In terms of domestic sales, the demand for vehicle tarpaulins has not improved significantly. Although the domestic transportation capacity improved in May, considering that some vehicle tarpaulins still need to be digested, the new orders are not ideal. Some coated cloth terminals said that may was the peak season for coated cloth demand. In previous years, there were 2-3 months of orders to be delivered, but this year the orders decreased significantly, and the overall atmosphere was poor. At present, the overall start-up of the coated cloth industry is 40-50%, up 10% from April. In May, most of the terminals purchased on demand, and still had a wait-and-see attitude towards the future market price of large-scale materials, so the enthusiasm for purchasing was not high.

The leather products industry is mainly distributed in the East and South China markets. The orders related to automobile leather have not changed much, and the overall atmosphere is OK. However, the luggage and clothing leather is in a low season of demand, and the operating atmosphere is general. It is basically just needed to purchase.

To sum up, although the demand increased in May, the improvement was not as good as expected, which was one of the negative factors affecting the price decline in May.