Since mid April, the domestic ABS market has continued to be weak, with most grades experiencing a decrease in spot prices. According to the Commodity Market Analysis System of SunSirs, as of April 21st, the average price of ABS sample products was 11,000 RMB/ton, with a price level increase or decrease of -2.22% compared to the beginning of the month.

Supply level: In mid April, the operating rate of the domestic ABS industry remained stable with small fluctuations, and the overall load level was 67%, which was basically the same as the first ten days. The weekly average production has returned to around 120,000 tons, but it is still at a relatively high level, and the inventory level of aggregation enterprises has risen above 200,000 tons. In addition, there are relatively few maintenance plans in the industry in the short term, and there are still Tianjin Dagu, Yulong and other companies returning to production capacity in the near future. The on-site supply is very abundant, and the supply-demand contradiction is profound. Overall, there has been no improvement in the supply side's support for ABS spot prices.

Cost factor: Since mid April, the upstream three materials of ABS have shown signs of fatigue, providing poor support for the cost side of ABS. At the beginning of the month, some units in the East China and Shandong regions reduced their load or underwent maintenance, resulting in a periodic decrease in supply of acrylonitrile. The inventory pressure in the industry has decreased. However, the production and discharge of the acrylonitrile unit at Yulong Petrochemical in mid month hindered the upward trend of the domestic acrylonitrile market. The consumer end has weakened in stages, with prices falling back, and the market as a whole is cautiously observing.

The domestic butadiene market has experienced a significant decline in recent times. Under the influence of international news such as equivalent tariffs, the crude oil and synthetic rubber futures markets have fallen widely, and the cost and demand of the butadiene market have been greatly affected, dragging down the mentality of the spot market. The port arrival situation on the supply side is good, but the overall supply of butadiene is relatively loose. Overall, it is expected that there may not be a positive market trend in the short term.

Styrene is also subject to international news such as equivalent tariffs, and the market has experienced a significant decline in the early stage. Recently, due to the recovery of the pure benzene market and the tight balance between supply and demand of styrene, prices have shown a trend of stabilizing and oscillating. In April, there were many centralized inspections of styrene, and the supply side remained tight. Downstream 3S factories had high inventory and limited production. However, in the uncertain market situation of raw materials, the risk of a decline in styrene in the future cannot be ruled out.

On the demand side: As we enter late April, the load of downstream ABS factories in the ABS terminal is generally flat, and the purchasing logic tends to buy at the bottom and replenish orders for urgent needs. The confidence in the market is weak, and the purchasing atmosphere is more cautious. With the exhaustion of essential orders, new order deliveries have noticeably weakened, and the flow of goods has returned slowly. Overall, the demand side has poor support for the ABS market.

Recently, the domestic ABS market has been weak and difficult to change. The upstream three materials are weakly moving, which provides poor comprehensive support for the cost side of ABS. The load of the ABS polymerization plant remains stable with little fluctuation, and there has been no improvement in demand side consumption. Business analysts believe that ABS has fallen to near cost price, and the market has long had strong supply and weak demand. Coupled with the impact of international news such as equivalent tariffs, pessimistic expectations for the future are biased. The bullish trend within the market is hard to find, and there is still a possibility that the market may continue to decline in the short term.

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