Polyester Demand Support PTA Price

PX price or the risk of callback, which further loosened the cost support of PTA. In addition, the supply and demand of PTA in May was roughly balanced. With the delivery of 1505 futures approaching, the supply or phased increase of PTA was a drag on prices, and the demand for downstream polyester factories became the key support.

Therefore, it is expected that the price trend in the month of PTA5 will not be able to replicate the strong rise in April, which is mainly based on the concussion and consolidation market, or a certain decline after the 05 contract delivery.

At the beginning of April, PTA maintained a weak pattern. However, the safety accident of Tenglong aromatics led to a turning point for PTA, and the price of PTA rose all the way. The price of the main period in the month surged to 5546 yuan / ton, or 14.94% in the month.

However, near the end of the month, part of the repair device was restarted, the PTA operating rate increased, and the long term profits of the futures companies left the field. The current price of the PTA phase continued to weaken and weakened, and the gains narrowed within PTA months.

Facing the coming May,

Is it to revitate the drum or create a brilliant future?

As we all know, PX as PTA raw material, PX price changes to some extent, PTA price changes.

In April, apart from the influence factors of Tenglong aromatics deflagration accident, it was also learned that the maintenance plan of the PX plant in the 2 quarter was more concentrated. To a certain extent, the maintenance was expected to boost the atmosphere of the PX market, and take the aromatics incident of Tenglong as an opportunity.

The price is going up. In April, PX rose by 17% in one month.

And the upside of the cost side is driving PTA prices higher.

As the price of naphtha did not have a strong rise, the PX cash flow profit was significantly improved while the PX price rose strongly. At the time of April 28th, the price of PX was $966 / ton (CFR China), with a profit of $88.02 / ton, with a significant improvement over the $9 / ton at the beginning of the month.

But the PX profit is far higher than the average profit of 42 US dollars / ton in 2015.

Faced with a higher level of production profit and PTA startup expectations, it is still necessary to consider whether PX production enterprises will be able to maintain the planned overhaul.

From the warehouse receipt, as of April 29th, there were still 168 thousand and 800 warehouse receipts (including effective forecasts), about 840 thousand tons.

If the balance of PTA starts to maintain relative balance in May, the warehouse receipts can not be effectively reduced. At that time, the delivery of 1505 will again drag the PTA price down.

From the perspective of downstream polyester stock level, due to the rising price in April and the excellent performance of 300%-400% in polyester production and marketing, the inventory level of polyester finished products was relatively low. In addition, in May, there was no definite maintenance plan for polyester enterprises in the near future. In May, the polyester comprehensive operating rate had not been substantially reduced, and there was a good demand for PTA.