Caprolactam: supply continued tight market is still upward
Views：2989 TimesDate：2014-08-05
Recently, the domestic market of caprolactam are still in short supply, some factories in Shandong and Zhejiang have already raised the offer, and intend to push up again. Sinopec’s settlement price was 18000 Yuan/MT in July, it was lower than the market expectations. At the present market, the price of liquid cargo is about 200Yuan/Mt higher than last weekend. The market of solid market have been affected by the short of supply, Prices are higher, about 18000 Yuan/Mt or more in cash and self pick up.
Recently, Fujian Tianchen Yaolong’s caprolactam project have been confirmed to run the feeding trial. Being influenced by the Nanjing Youth Olympic Games, Nanjing East has confirmed to start one month’s maintenance in August. According to the experience, it will need commissioning phase adjustment for Tianchen group’s products enter into the market. At the same time, Nanjing East’s month supply will reduce about 18000 tons after this parking. On the other hand, the largest inventory of the East will be difficult to reach 20000 tons. In this June, the imports fell to 9000 tons, the lowest month in every year. It is said that the imports will slightly raise up, but it still cannot make up the domestic demand gap. It is estimated that to the end of July, the supply will be still tight and hard to change.
Besides, domestic pure benzene was affected by the United States, but still has a slightly stronger signs, Sinopec has no word about reduce prices, the cost for caprolactam support the high prices.
Based on the analysis, it is predicts that from late July and early August, the domestic market of caprolactam will be remain strong, the market price accompany with manufacturer multiwave push up, will shake up.