1、 Price trend

This week, propane market continued to rise. The average market price of propane at the beginning of the week was 2905.00 yuan / ton, and that at the end of the week was 3107.50 yuan / ton, up 6.97% in the week, 30.83% lower than the same period last year.

2、 Analysis of influencing factors

Product: the domestic propane Market Trading atmosphere this week is better than that in the earlier stage. As of April 10, Shandong Dongming Petrochemical Co., Ltd. stopped using propane for its own use, and Shandong Haiyou Petrochemical Group Co., Ltd. had no propane in stock, so the price was not offered temporarily. The ex factory price of propane of Tianjin Bohai Chemical Group supply and marketing company is 3000 yuan / ton, that of Shandong Dongying Hualian Petrochemical Co., Ltd. is 3080 yuan / ton, that of Shandong HSBC Petrochemical Co., Ltd. is 3150 yuan / ton, that of Shandong Hengyuan Petrochemical Co., Ltd. is 3250 yuan / ton, that of Shandong Binzhou Dayou group is 3150 yuan / ton, and that of Sinopec Qingdao oil refining Co., Ltd The ex factory price of propane of Industrial Co., Ltd. is 2950 yuan / ton.

After the Qingming Festival, the price of propane in Shandong increased significantly, and the overall trading atmosphere of the market improved. At the beginning of this week, the market atmosphere was driven by the continuous rise of international crude oil, and the downstream bullish mentality was obvious. In addition, there was a demand for replenishment after the festival, so the market atmosphere was more positive. The manufacturer’s shipment is smooth, the inventory is low, and the price continuously pushes up. At present, the terminal market has returned to normal, and the market demand has increased, which has also brought certain benefits.

Latest CP price: Saudi Aramco announced in April that the price of propane and butane were lowered. Propane fell to $230 / T, down $200 / T from last month; butane $240 / T, down $240 / T from last month.

Industry: according to the price monitoring of the business agency, in the 14th week of 2020 (4.6-4.10), there are 28 kinds of commodities in the list of commodity price rise and fall in the chemical industry sector, including 13 kinds of commodities with an increase of more than 5%, accounting for 14.9% of the number of commodities monitored in the sector; the top three commodities are pure benzene (21.34%), crude benzene (20.34%) and acetone (15.79%). There are 28 kinds of commodities falling on a month on month basis, with 5 kinds of commodities falling by more than 5%, accounting for 5.7% of the number of commodities monitored in the sector; the top three products falling are ethylene (- 11.31%), butadiene (- 10.19%) and aniline (- 5.63%). This week’s average was up or down 1.05%.

3、 Future forecast

This week, with the support of international crude oil, the trading atmosphere in the market improved, the upstream inventory was running at a low level, and the terminal demand in the later period was expected to grow. There was more good news in the market, and the industry was more optimistic about the future market, and it is expected to continue to rise next week.