Asia PX Weak Shocks, PTA Margins Continue To Shrink

Asia PX weak shocks, PTA margins continue to shrink.

Affected by PX supply in Asia and domestic reserve requirement, Asian PX is weak.

Last weekend Asian PX maintained at 1506 US dollars / ton FOB Korea; heterogeneous MX in 1202 US dollars / ton FOB Korea, PX and MX price difference rose to 304 US dollars / ton.

The estimated cost of PX in the Asian region is about 8912 yuan / ton PTA.

Above Friday, Jiangsu and Zhejiang area PTA

PTA device information: 1. Far East Petrochemical 600 thousand ton PTA plant was shut down for 2-3 days earlier this week.

2. Fujian Jialong 600 thousand ton PTA plant resumed driving before and after this Monday.

3. Yisheng Dalian 1 million 500 thousand tons plant plans to start parking arrangements in mid 5. Ningbo's 2 million ton new plant plans to start the supply market in mid and late 7 months.

4. the Hon Bang 600 thousand ton PTA plant in Jiangyin was planned to be overhauled for 5 weeks in mid June. It is now postponed until June.

PTA demand is flat, polyester margins continue to improve.

Last week, due to rigid demand support, most factories produced and sold at 100%, and a 200 thousand ton polyester plant in Suqian was put into operation.

The boot rate is basically normal. Due to power restriction factors, the loading capacity of the loom in Taicang, Changshu, Changxin, Cixi, Xiaoshao and other places is close to 80%. Because of the tight supply of some sliced and conventional polyester goods, the opening rate of the sliced spinning factories in Jiangsu and Zhejiang provinces has increased to 85%, and the loom rate in Xiaoshao area has risen to about 75%. Most of the raw materials are generally stocked with demand, mainly on demand; Shengze's loom looms start at about 80%; the Wujiang and Haining warp knitting machines start up at 90%; last week, China's light textile city (chemical fibre cloth + cotton cloth) was delivered at about 7 million 860 thousand meters a day, up 5 million 740 thousand meters from the same period last year, increasing by 2 million 120 thousand meters, with an increase of 36.9%. Main weaving areas in Jiangsu and Zhejiang provinces

downstream

Conclusion: last week, PTA explored 9300 front-line support, and suggested that investors should reduce their profits by reducing their profits.

Technically, PTA1109 contracts are still in a downward track and are subject to the 5 day moving average.

From the PTA fundamentals, the gross profit margin of PTA has dropped sharply, the gross profit of downstream polyester products has continued to improve, and the power to continue short has weakened. Although the reserve requirement rate was announced last week, liquidity remained tight in the post market period.

Pressure, while the RMB appreciation pressure, and therefore the macro market is not conducive to commodity uplink, it is estimated that