Propylene is soaring, and PP manufacturers can't bear it.
the spot price of propylene raw materials in the Far East reaches US $per ton. The manufacturers said that even for vertically integrated manufacturers with upstream propylene raw materials, the operating cost of PP is at least US $130 per ton. Based on the current spot price of propylene, the production cost of PP reaches more than US $740, which will test the profitability of PP manufacturers
the industry said that since the price rise of upstream petrochemical raw materials, the driving force of intermediate petrochemical raw materials has gradually shown a bottleneck. If there is no downstream demand recovery in the future, intermediate petrochemical raw material manufacturers may absorb some upstream raw material price rise space by themselves, resulting in reduced profitability
in addition to propylene, another factor affecting the price of PP is the price of PS and ABS. In recent years, the processing production of PP has gradually replaced the products of ABS and PS, which makes PP and ABS, 'go around' and then return to Anqing. "There is an alternative interactive relationship between the rise and fall of PS price. The manufacturer said that P increases the competitive advantage of the industry group; Stabilize the domestic market. If the price rise space of S and ABS is limited in the future, it will also affect the rise of PP
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