【Price Review】 This week, EVA price fell weakly and transactions were weak. At the beginning of the week, most of the ex-factory prices of Sinopec’s subsidiaries were supplemented and lowered. Although the other ex-factory prices were stable, the market value was significantly inverted. This week, except for photovoltaic-grade EVA, the price of foaming hard/soft materials, hot melt adhesives, and coating-grade EVA all went down, with a range of 500 to 1000 yuan/ton. The weak terminal demand and weak mentality of traders have become the main driving force behind the price decline. In addition, some companies are concerned that the production of GULEI Petrochemical is imminent so as to promote transactions by offering profits to avoid it in advance.
【Cost】From the perspective of cost, the production cost of EVA varies across different routes, with an average cost of 10281 yuan/ton for oil-based routes, an increase of 2.5% month on month. The production cost of methanol-path EVA is decreased by 1.02% to 10238 yuan/ton.
【Supply】In terms of supply, EVA industry’s operating load this week is 100%, an increase of 11.16 percentage points compared to the previous period.
【Demand】In terms of demand, the compound operating rate of the EVA terminal industry this week is 62.54%, which is flat compared with the previous period.
Next week’s forecast:
The EVA market price or weakness is hard to change next week, the terminal demand is weak, and the market lacks rebound momentum. However, the limited supply of low-cost imported goods, and the strong prices of domestic enterprises, may constrain traders’ short selling sentiment. And with the gradual digestion of low-cost goods, and the subsequent shortage of low-priced goods, traders may gradually show a reluctance to sell at low prices. It is expected that the EVA price will remain weak next week, but the space for the next round will gradually narrow. It is preliminarily estimated that the price of EVA hard materials for the next period may be between 15000 to 16000 yuan/ton.
Post time: Apr-12-2023