Rubber antioxidant 4020 contradiction between supply and demand in 2006 will ease

In August last year, due to the sharp price rise of raw materials, as well as the international market to reduce the supply of the domestic market rubber antioxidant 4020 (6PPD) prices rose in a straight line, or even 1 to 2 weeks on the 1st price up, and suddenly increase the pressure on suppliers , A number of enterprises in some cases tires only 2 to 3 days inventory. Although the global rubber antioxidant 4020 to the original manufacturers have production facilities have been adjusted by lifting the potential production capacity, the shortfall is a certain ease the situation, but industry experts still expect 4020 prices Huojin rubber antioxidant status this year Will not be fundamentally alleviated.



Rubber antioxidant 4020 is the production of radial tires especially important to use additives. In recent years, with the rapid development of Chinese tire industry, demand has increased year by year, domestic demand is expected this year, about 25,000 tons, while the global market capacity of about 250,000 tons. Domestic product of the larger enterprises are mainly in Shandong Chemical Industry Co., Ltd. and the Olympic st chemical plant in Nanjing, the foreign production of large-scale enterprise rich lakes mainly the Netherlands, Germany's Lanxess, the United States Compton and South Korea's Kumho Petrochemical companies.



Since 1999, domestic rubber antioxidant and gradually form a large-scale production since 4020 until last August before the manufacturer has to rely on the sale price for market share from the initial price of more than 40,000 yuan per ton fell to the lowest last year, when more than 20,000 yuan Many enterprises are losing money. Especially in the second half of 2003 from the price hikes of raw materials, but also lead to some serious business losses. It is understood that here there are 23 domestic enterprises is therefore out of the industry.



Since the tragic price competition in recent years, the 4020 rubber antioxidant production capacity at home and abroad, do not apparent expansion of the product by the buyer's market has gradually turned into a seller's market. As a result, prices in August last year, from the beginning all the way up to a ton and is currently up more than 40,000 yuan, and supply is still relatively tight, the product became transformed, "Xiang Bobo."



According to the analysis, lead to the rapid price rise is the direct result of last year, Compton announced in August due to rubber antioxidant 4020 operating loss of the long-standing problem, will close its 20,000-ton production device. The move to make rubber antioxidant 4020 in the global market, supply shortage, combined with sharply rising prices of raw materials, rubber antioxidant 4020 followed up prices. By December last year, Lanxess plant accident occurred, but also exacerbated the market extremely tight supply, prices rise further, the current international market up to 4600 U.S. dollars per ton or more.



The view of the current market conditions, global manufacturers have a strong desire to expand production, not the original production of the product companies are very positive about the product. It is understood that the international community intends to increase the production of rubber antioxidant 4020, about 4 enterprises with a total size of the output of about 30,000 to 50,000 tons / year. Chinese enterprises are eager to peak copper and e-Tongling Xinda Chemical Co., Ltd. joint venture and Lanxess, plans to invest in the construction of installations with an annual output of 9000 tons; Henan Province who intend to invest in a company with an annual output of 5,000 tons of equipment; Shandong has built an enterprise with an annual output of 2 10,000 tons device; Jiangsu enterprises have an annual production capacity to increase to 50,000 tons.



Analysis shows that the domestic rubber antioxidant plant with an annual output capacity of 4020 reached 28,000 tons, the export factor to consider if we do not have to meet domestic demand, and even some of the surplus. However, due to chemical plant in Nanjing and Austrian Shandong St., through years of hard work and Chemical Corporation, product quality, brand and size of the supply capacity of foreign confidence has been made to establish a more stable international marketing channels, under normal circumstances, there is a part of exports, So the global market in the supply tension, its exports will naturally increase, but also exacerbated the level of domestic supply. However, as domestic and foreign enterprises to continue to expand production capacity, the product of the contradiction between supply and demand next year will be eased. Therefore, rushing into mass action if the situation in the new round of fierce competition will be unavoidable.