The relevant information this week is as follows:
1. Raw material
Crude oil: During this statistical period, the international crude oil price rose by about US$1.6, and the average price of Brent crude oil was US$74.78 per barrel. The global crude oil market was strong this week. After a slight increase last week, oil prices continued to rise this week. The arrival of cold weather has increased the demand for heating oil in Europe and the United States, which is one of the
main drivers of the rise in oil prices this week. In addition, the market has responded optimistically to the economic stimulus policy announced by the Chinese government last week, which has also provided solid support for the recent push for oil prices. In the future, before Trump officially takes office as the new president of the United States on January 20 and announces his economic policy, the downward pressure on international oil prices will be temporarily relieved.
2. Production capacity
Among the major production refineries in China, Maoming and Dalian Petrochemical has stopped production, the rest of the refineries are operating normally.
|
Period |
Factory |
Status |
|
20241227—0102 |
Daqing Pec |
Normal |
|
20241227—0102 |
Daqing Ref & Che |
|
|
20241227—0102 |
Dalian Pec |
Closed and Relocating |
|
20241227—0102 |
Fushun Pec |
Normal |
|
20241227—0102 |
Lanzhou Pec |
Normal |
|
20241227—0102 |
Jingmen Pec |
Normal |
|
20241227—0102 |
Gaoqiao Pec |
Normal |
|
20241227—0102 |
Maoming Pec |
Suspended |
|
20241227—0102 |
Jinan Ref & Che |
Normal |
|
20241227—0102 |
Nanyang Pec |
Normal |
|
20241227—0102 |
Panjing Beiran |
Normal |
3. Stock
This week’s paraffin market remains the same as last week, with traders and end users purchasing on demand. Currently, the national inventory is about 10,000 tons.
4. Market demand
The paraffin market was good this week. The demand of manufacturers and traders who had been on the sidelines due to the downward trend in paraffin prices was released. In addition, end users were concerned about logistics constraints during the Spring Festival in January next year, so they were actively purchasing.
5. Industry analysis overview
This week, paraffin prices were raised again. PetroChina raised the prices of most of its solid paraffin products by RMB 30/ton. Sinopec selectively raised the prices of some models by RMB 50/ton, mainly targeting high melting point models (62° and above) and export models, while domestic popular models remained stable.
6. Price expectations
The price of paraffin wax is currently high, while the international oil price is relatively low. The experience over the years shows that the price has gradually fallen. However, the current paraffin wax production capacity has been greatly reduced, and the inventory is extremely low. The price of paraffin wax has not fallen as expected, but has risen flexibly. At present, the price of paraffin wax is likely to remain stable until after the Spring Festival in 2025.