On March 19, Zhejiang Runtu Co., Ltd. issued the "Price Adjustment Notice", in which the salesmen were required to execute the new price for disperse dyestuff products from March 19, 2019.
The price of the new product is shown in figure
.
1. The production capacity of disperse dyes is still limited, and environmental protection has never been relaxed.
At present, the production capacity of disperse dyes market is still very low. Although most of the disperse dyestuff factories in northern Jiangsu have been restarted, the price of intermediates is still at a high level.
For the external factors of dyestuff production, more comes from environmental protection renovation under high pressure. As we all know, the long-term shutdown of many factories has led to a significant decline in the effective production capacity of the disperse dyestuff industry, which has led to a decline in the overall output of the industry.
2. Downstream Printing and Dyeing Industry Encounter & ldquo; Gold, Silver, Four & rdquo; Guangdong, Fujian, Zhejiang, Jiangsu Some Printing and Dyeing Enterprises Explode Warehouses
At present, it is downstream printing and dyeing industry & ldquo; gold, silver and four & rdquo; each printing and dyeing factory business is relatively prosperous! From the previous reports, throughout the eastern developed areas of printing and dyeing, dyeing factories burst in varying degrees! Especially in Fujian Province, dyeing fees have been raised several times to prevent the negative impact of excessive monomer backlog. This will further drive dye's & ldquo; throughput & rdquo;!
Conversely, the inventory rate for downstream demand (including printing and dyeing enterprises, middlemen, etc.) has been very low since the beginning of the year. Next March-May is expected to appear & ldquo; stockpiling & rdquo; the golden age, which is bound to drive the overall trend of dyes!
Through investigation and analysis, the specific reasons for the rise in the price of disperse dyes are as follows:
First, environmental protection is becoming more stringent and routine.
With regard to ecological and environmental protection, in the general requirements for economic and social development in 2019, the National Congress and the National Congress just concluded, it was mentioned that the ecological environment would be further improved, the energy consumption per unit GDP would be reduced by about 3%, and the discharge of major pollutants would continue to decline. Pollution prevention and control should focus on key tasks such as winning the Blue Sky Defense War, taking into account all aspects and tackling both the root causes and the root causes, so as to continuously improve the quality of the ecological environment.
Second, environmental governance is not up to expectations, and local governments will intensify the regulation.
Recently, the headquarters office of Jiangsu Provincial Pollution Prevention and Control Command published the environmental air quality of 13 districts and cities from January 1 to March 15 on the front page of Xinhua Daily. According to the circular, only the good days ratio in Wuxi reached the target in 13 urban areas of Jiangsu Province, while the good days ratio in 12 other cities did not reach the target. In the future, public briefings will continue on the front page of this report every half month.
Thirdly, the rework of dyestuffs and their intermediates failed to meet expectations.
In northern Jiangsu and Shandong provinces, the rework of dyestuff and intermediates production enterprises is limited, and the capacity of reworked enterprises is far less than the capacity before shutdown. Affected by this, the prices of some dyes and intermediates began to rise, with the recent quotation of 48,000 yuan per ton for reductants and 42,000 yuan at the beginning of the year, and 47,000 yuan per ton for m-phenylenediamine and 41,000 yuan per ton at the beginning of the year.
Fourthly, we should start the legislative work of the Yangtze River Protection Law.
In 2018, the 13th Standing Committee of the National People's Congress (NPC) included the Yangtze River Protection Law in a first-class legislative plan and initiated the legislative work. In December 2018, at the Legislative Seminar on Yangtze River Protection Law organized by the National People's Congress Committee on Environment and Investment, the Yangtze River Protection Law (draft proposal) was submitted. Zhang Yesui, spokesman of the two sessions of the National People's Congress, said at a press conference in 2019 that the Standing Committee of the National People's Congress is expected to enact a law on the protection of the Yangtze River this year to provide a strong legal guarantee for the protection of the Yangtze River.
Fifth, the peak dye demand season is coming.
At present, printing and dyeing enterprises begin to enter the annual production peak season, the demand for dyes will increase, and this year, the stock of printing and dyeing enterprises and distributors before the Spring Festival has decreased compared with previous years, which will increase the dye rigidity demand of printing and dyeing enterprises.
Sixth, oligopoly.
The market of disperse dyes has formed an oligopoly competition pattern. The concentration of disperse dyes industry is high, and the bargaining power of dyestuff enterprises is greater than that of printing and dyeing enterprises. This will promote disperse dyestuff manufacturers to raise their ex-factory prices to a certain extent. Disperse dye manufacturing enterprises are mainly listed companies, and the performance demand of listed companies also stimulates the power of product price increase.
