As a byproduct of ethylene cracking process, butadiene ushered in the second half of the year since last November, a decline. Although butadiene prices continue to edge lower, but the industry believes that, with the upgrade of ethylene cracking process, butadiene production will be increasingly scarce, from the long-term future of the boom of the expected rise.
According to the price monitoring of the business community, butadiene prices from the beginning of this year, 27,100 yuan / ton price highs dropped to near the current 12,000 yuan / ton, down more than 55% in November alone, butadiene decline up to 20.61%. Social business chemical industry analyst Xu Yu Ting told the Securities Times reporter, butadiene decline this year is expected to do, and weak downstream demand is the main reason for butadiene prices plummeted.
According to reports, the downstream products of butadiene include styrene-butadiene rubber, chloroprene rubber, butadiene rubber, synthetic rubber, synthetic rubber is the main raw material for manufacture of tires.Annual production of tires in China, accounting for about 1/4 of the world’s tire production is the world’s largest tire manufacturer and exporter, however, the EU the green tire labeling bill duly executed in November, but then China’s tire industry caused heavy blow. China’s tire exports to the EU standards according to the bill, nearly half of non-compliance. The introduction of tire labeling law has had a serious impact on China’s tire industry, and industrial chain upstream conduction.
Butadiene prices than almost cut during the high point, but Xu Yu-ting that now butadiene production costs between 9,000 yuan to 10,000 yuan, so in theory there is still room to fall.
Although the the butadiene price of stumble endlessly, but based on butadiene production technology and production capacity considerations, there are still people in the industry is optimistic about the long-term for this product. Qi Xiang Tenda (002,408) Securities Affairs Representative Liu Bing told reporters, butadiene is mainly derived from naphtha cracking byproduct of ethylene when so butadiene If you want to increase production, unless it is large ethylene plant put into operation, and must naphtha cracker.Currently have this ability only China Petroleum (601857), China Petrochemical (600028), a large petrochemical enterprises, butadiene capacity is relatively stable, overcapacity situation is unlikely to occur.
Appeared in North America and the Middle East ethylene cracking new technology, shale gas and liquefied petroleum gas (LPG) cracking ethylene that is nearly half costs less than naphtha law, but this new process will not byproduct succinic ene, Liu Bing is expected, as naphtha cracking ethylene by phasing out, butadiene production will become increasingly scarce.
Qi Xiang Tenda project put into operation in June this year with an annual output of 100,000 tons of butadiene, a major boost growth in the company’s third quarter results. Qi Xiang Tenda three quarterly show, the company’s third quarter operating income of 1.141 billion yuan, a year-on-year growth of 69.9%; net profit attributable to parent company 131 million yuan, a year-on-year growth of 21.1%.
First Capital analyst Zhang Paul told reporters that currently more dependent on imports of synthetic rubber, self-sufficiency rate is very low.With the upgrading of domestic synthetic rubber production in recent years, the future is expected to boost demand for the formation of butadiene
Translated by Google Translator from http://news.cria.org.cn/4/12664.html
