A new round of pull will open! Silicone off to a good start

Quit the old year, usher in the New Year, silicone also with a new atmosphere into a new chapter. 2021 to a wave of rebound market high-profile end, before the festival DMC's latest offer of 25800-26500 yuan/ton, from the whole year, compared with the same period last year up 4900 yuan/ton, 23.06%; From a monthly point of view, the DMC market in December fell first and then rose. First, the transaction center of silicon metal keeps moving down, and the cost support is weak. Secondly, by the end of the demand to fall suppression; Finally, DMC and 107 glue frequently dropped shipment, attracting downstream copy bottom warehouse construction, at the end of the month, single factory and traders reported a rebound, temporarily do not receive orders flooded the market.

At present, there is a strong reluctance to sell in each single factory. Some northern manufacturers have stopped delivering goods for the time being, and the output of newly added devices is still small. Due to supporting products, DMC is mainly for self-use, and short-term spot filling is limited. After the holiday, the opening situation showed a positive picture, and a new round of growth is expected to start, making 2022 a "good start".

107 rubber market: 107 rubber bottomed out in December. Earlier, due to the general decline of DMC in various regions in China, the cost support is weak, and the demand for terminal real estate and photovoltaic industry has not improved, the cost demand is weak, 107 rubber market center has been moving down, and DMC inverted for a long time. In the latter part of the year, as the price fell to a low level, the activity of warehouse construction increased, and the market trend of silicone was lifted. Before the festival, 107 rubber is generally around the cost, and the quotation is 25800-27000 yuan/ton, with an increase of 4.55% within a week.

From the point of view of the demand side, the downstream manufacturers in the mood to buy, 107 rubber manufacturers and limited sales, stocking enthusiasm is more enthusiastic. This year's Spring Festival earlier, after the New Year's day, the downstream stocking plan put on the agenda, although manufacturers said, if the price rises too high, reduce stocking volume, but after the market is the traditional peak season, most manufacturers still have the right amount of stocking demand. In addition, there is also news that silicon metal price reduction, price loosening of all links of the photovoltaic industry chain, easing the pressure of downstream installation cost, promote the recovery of demand, volume for price logic is conducive to the recovery of the photovoltaic industry, there is a certain positive demand for 107 rubber.

In the long run, the demand for room temperature rubber is not optimistic. But in the short run, from the order arrangement situation of 107 rubber factory, due to the large profits of core customers in the early stage, a considerable amount of orders, limited inventory pressure, and full confidence in price.

Silicone oil market: In December, the performance of silicone oil market is more optimistic, especially export orders continue to be strong. Silicone oil quotation is more adjusted with the cost reduction, the overall profit is acceptable. Before the festival, domestic silicone oil was quoted 32000-33,000 yuan/ton, and imported silicone oil was quoted much higher than domestic silicone oil due to the restart of Zhangjiagang device and the increase of supply, and the shipment of agents was blocked. In the first quarter, each foreign brand silicone oil was quoted lower, with a wide range of 38000-43,000 yuan/ton. At present, domestic silicone oil still has a price advantage.

On the demand side, the domestic downstream demand was average in December, and the price cuts in turn depressed the mentality of the industry in the first ten days. The domestic silicone oil users were slow to receive goods, and most of them were waiting for further price cuts. But in foreign trade, foreign devices take turns to repair, foreign brand silicone oil high and strong, to boost domestic silicone oil exports, foreign trade companies in advance to lock single operation frequency. In the latter half of the year, DMC rebounded successfully, cost support was strengthened, the enthusiasm of domestic downstream market was increased, domestic and foreign trade demand was resonant, and silicone oil manufacturers had a compact order schedule.

In the afternoon market, the supply pressure of domestic silicone oil manufacturers is not big, and the DMC limit also presses the production capacity of silicone oil manufacturers, and the selling sentiment is gradually rising, most of the tentative report is up, and silicone oil is expected to have a small upward space in the short term.

Cracking material market: driven by the new material market, the recent cracking material market trading also tends to pick up, but cracking material manufacturers are suffering, waste silica gel increase is actually higher than the new material, the waste silica gel recycler of cracking material factory raw edge quotation in 11200-11500 yuan/ton; The upside-down phenomenon is getting worse rather than better. At present, most cracking plants receive a small amount of materials, or as far as possible to purchase hydrolytic materials. But some manufacturers are optimistic about the future market, still high prices actively stock up, plan to be shipped. Overall, cracking material manufacturers profit is difficult to find, low willingness is not strong. Short - term new material limited sales, part of the downstream manufacturers in urgent need of spot have to purchase high - price cracking material.

In addition, cracking plant to be prepared, upside down pattern may be difficult to change in the short term, in the first half of 2021 cracking plant to earn full pot full, in the first half of 2022 cracking plant will need to endure hibernation, improve product quality, expand sales channels.