According to the Commodity Market Analysis System of Shengyi Society, from February 10th to February 17th, the domestic butadiene market price decreased from 12637.5 yuan/ton to 12375 yuan/ton, with a price reduction of 2.08% during the period. This week, the butadiene market has been running weakly, and the supply side has not changed much recently, with an overall stability. Recently, the demand side synthetic rubber market has performed poorly, and the futures market as a whole is weak. The purchase of raw material butadiene remains in high demand, and market transactions are weak, resulting in an overall weak market atmosphere. As of February 17th, the mainstream delivery price of butadiene in Shandong region is between 12380-12500 yuan/ton. The self pickup price for container delivery in East China ranges from 12000 to 12100 yuan/ton.

Cost aspect: During this cycle, crude oil prices first rose and then fell, with little overall fluctuation. As of February 13th, the settlement price of the main contract for WTI crude oil futures in the United States was $71.29 per barrel. The settlement price of the main Brent crude oil futures contract is reported at $75.02 per barrel.

Supply side: Sinopec’s various sales companies have lowered the listed price of butadiene by 300 yuan/ton and implemented 12400 yuan/ton. Recently, the comprehensive operating rate of the domestic butadiene industry has not changed much, and the overall supply is relatively stable.

Demand side: According to the Commodity Market Analysis System of Shengyi Society, the styrene butadiene and butadiene rubber markets have been operating weakly this cycle, and the butadiene rubber market in Shanghai has been consolidating weakly. The futures price of Shunding rubber fluctuated weakly, while the supply price of Shunding rubber spot suppliers remained stable for the time being, and merchant offers were slightly adjusted. At present, the mainstream prices for Daqing, Sichuan, Yangtze, Qixiang, Chuanhua, and Qilu Shunding are 14550-14850 yuan/ton, a decrease of 100 yuan/ton compared to the same period last week.

Market forecast: In terms of cost, the recent weak trend in the crude oil market will drive the weak atmosphere in the spot market. The supply side has slightly rebounded recently, with loose supply. The demand side has maintained on-demand procurement in the near future, with overall weak transactions. Overall, the overall performance of the butadiene market is stable but slightly weak, with a lack of demand support. It is expected that there will be some downward adjustment space in the future, continuing the weak trend.