Domestic price trend:

From the trend chart, it can be seen that the price of para xylene has remained stable this week. As of the weekend, the domestic ex factory price of para xylene was 8600 yuan/ton, which is the same as the price of 8600 yuan/ton at the beginning of the week, with a year-on-year increase of 1.18%.

The domestic supply of xylene is stable, and the domestic PX operating rate is maintained at over 80%. The operation of the Pengzhou petrochemical plant is stable, but there are still some units undergoing maintenance, and there is sufficient spot supply. This week, the international crude oil price range fluctuated, and PX external prices have decreased. As of the 7th, the closing prices in the Asian region were 977-979 yuan/ton FOB Korea and 1002-1004 US dollars/ton CFR China. Recently, the operating rate of PX plants in Asia has remained high, with an overall operating rate of nearly 80% for xylene plants in the Asian region. The supply-demand contradiction of PX supply in the Asian region has become apparent, and the domestic xylene market price trend is temporarily stable.

This week’s international crude oil prices have fluctuated, and overall, crude oil prices have slightly increased. As of the 7th, the closing price of US WTI crude oil futures was $78.93 per barrel, and Brent crude oil futures closed at $82.96 per barrel. The crude oil market has seen a slight increase this week. On the one hand, geopolitical risk factors have become the main driving force behind the rise in crude oil. The warming geopolitical situation has further pushed up the risk premium of crude oil. On the other hand, the Federal Reserve has stated that it will not cut interest rates temporarily, which will provide some support for international oil prices. The range of crude oil prices is fluctuating, and the domestic market price trend for xylene is stable.

The domestic PTA spot market trend has declined, with an average price of 5843 yuan/ton in the East China market as of the weekend, a decrease of 1.80% from the beginning of the week price of 5950 yuan/ton. From the recent changes in PTA’s own equipment, the industry’s operating rate has remained stable around 82%. In addition, a large number of PTA cargo sources are concentrated in ports, resulting in overall inventory accumulation. Although downstream polyester production gradually rebounded, factories had sufficient stock before the holiday, and there was a strong wait-and-see atmosphere in the PTA market after the holiday, with poor purchasing enthusiasm, resulting in a decline in the PTA market. At present, the operating load of the downstream polyester industry has increased to over 80%. With the comprehensive resumption of work and production in the polyester and downstream weaving industries, there will be a lot of room for improvement in the operating rate. As a result, the price trend of the PX market is temporarily stable.

Chen Ling, a PX analyst at Business Society, believes that there is sufficient supply of domestic PX, and the upstream crude oil market is a long short game. Overall, the crude oil price range fluctuates, and the downstream PTA unit operation has not changed much. However, with the gradual restart of the textile industry, the downstream polyester operation load has increased, and the end demand continues to start. The combined influence of long and short factors is expected to be mainly affected by the price fluctuations in the xylene market in the later period.