At the beginning of November, the domestic ABS market was weak and the price gradually fell. According to the data monitoring of SunSirs, the average ex factory price of domestic ABS was 12,100 RMB/ ton on October 30 and 12,000 RMB/ ton on November 7, with a weekly increase or decrease of -0.83% and a year-on-year increase or decrease of -29.82%.

The global economic recession caused by the high inflation macro environment has long affected the market, and the petrochemical industry chain where ABS is located is more directly affected by it. In addition, the news of the Federal Reserve's interest rate increase last week was implemented, and the mentality of the industry was under long-term pressure. In the short term, international crude oil rebounded to a high level on November 3, which slightly supported the market. Recently, domestic health events rebounded, risk areas increased, and shipment of some suppliers was affected. The ABS market was dragged down by multiple external forces.

In terms of raw materials, the trend of the three upstream ABS materials in early November was generally weak, with only acrylonitrile rising on the demand side. However, the support for ABS is not enough to offset the decline of other raw materials.

Last week, butadiene continued its weak market. Affected by the triple negative effects of abundant supply, weak downstream products and weak external market, the price position fell to around 7,146 RMB/ ton within the week, down 6.02%.

In terms of styrene, trading in the Asian dollar market continued to be light, the upstream pure benzene market fell, the downstream procurement transaction was cautious, the spot stock on the market was abundant, the fundamentals were not profitable, and the market continued to decline.

In terms of supply: recently, the load of ABS industry has been high, and the plant commencement has generally remained at a high level of 80% to 90%, and the supply of goods on the site continues to be abundant. The market competition is strengthened, the pressure on suppliers is highlighted, and petrochemical plants have reduced the factory price to take delivery.

Demand: At present, downstream factories, including the main terminal household appliances industry, are generally motivated to stock up, and the market trading is weak as a whole. The traditional peak demand season has ended, and the overall demand for support has dropped. The buyer's acceptance of the high offer was not good. After the price fell, some stock orders were stimulated, and the actual transaction position ton price generally decreased by 100~500 yuan. At the same time, the short covering of the demand order made the purchase and sales of the market warm up, and the price stopped falling at the same time.

The volume of traditional demand peak season in the early stage was less than expected, and the demand for support just weakened at the end of the current peak season. The three upstream materials were mixed, and the cost side support was generally weak. In addition, the petrochemical plant started at a high level, the supply side was under pressure, and the ABS market was negative. Fortunately, the momentum of trading increased after the factory price was lowered within the week, and the market temporarily fell to a stable position. It is expected that this week's ABS market will be dominated by narrow range consolidation in China.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.