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Time: 2017-02-17

We have learned,

Price of plastic

by

plastic

The impact of the overall environment of the market has been running at a low level. Poor sales and increased supply later, the market is mostly concerned about the situation of the plastic market this year. Analyst xie long believes that the plastic market will appear in early August a round of stock replenishment market, then is expected to lead the rebound in plastic futures prices.

Since the second half of last year, about 1.5 million tons of coal chemical equipment have been put into production. The original price system of the plastic market has been impacted by the low price of goods. At the same time, the fall in oil prices in the third and fourth quarters of last year further depressed the cost of plastics. The cost of oil-head polyolefin has been greatly reduced, and the collapse of the cost end also makes the price of plastics fall down to a certain extent.

"The current plastic prices continue to fall, the recent high overall capacity is still the core reason. Zhu mingyuan, deputy general manager of commodity department of jianxin futures, told reporters that with the continuous production of coal chemical equipment last year, the general material capacity of PE and PP increased rapidly.

LLDPE

Monthly output growth even exceeded 30 per cent year-on-year at one point. However, LLDPE consumption growth rate is still maintained within 10%, and subject to the lack of new growth points, making plastic prices continue to decline.

It is worth noting that although the current price of plastic is at the lowest level in recent years, on the cost side, the oil price has dropped by 50% from last year's high. On this basis, the current price of plastic is still within a reasonable range.