Driven by rising raw material prices and strong downstream demand, disperse dye prices were adjusted again in early September after being raised in early August. So what is the market situation like now? Let’s see together.
Dye prices fluctuate little
According to Zhuochuang Information survey data, the market price of disperse dyes in East China did not fluctuate much this week. The average price of disperse black ECT300% this week remained basically the same as that of last week. Last week, the quotations of the main varieties of disperse dyes from Zhejiang Longsheng (600352.SH) and Runtu Co., Ltd. (002440.SZ) were around 32,000 yuan/ton. This week, the trading interest in the disperse dye market is low. The procurement of downstream printing and dyeing factories is mainly based on rigid needs. Traders are cautiously waiting and watching. There are not many dye transactions and little price fluctuations.
Figure 1 Market price trend of disperse dyes
Figure 2 Reactive dye market price trends
According to Zhuochuang Information survey data, the market price of reactive dyes in East China has maintained a high stability this week. The average price of reactive black WNN 200% remained unchanged from last week. This week, the trading atmosphere in the reactive dye market was light. Downstream printing and dyeing factories and traders were more cautious in making inquiries and flexibly negotiated actual orders.
What is the future trend of dye market?
According to the forecast analysis of Zhuochuang Information:
1. At present, environmental protection and security inspections in East China continue to carry out environmental inspections, and some factories The production situation has been affected to a certain extent. The approval and acceptance of the production resumption of Jihua H acid project has been completed. It has not been restarted yet, and the supply may remain stable. Around late August 2020, terminal consumption is expected to improve, the start-up of downstream printing and dyeing plants has been less volatile, and there is little interest in purchasing dyes. The demand for dyes is expected to be stable.
2. The trading atmosphere in the domestic main dye intermediates market has been sluggish recently. Due to the low interest of downstream dye factories in purchasing raw materials, the price of raw materials is difficult to be favorable. Zhuochuang expects that the cost end will decline in the short term. It’s hard to get better.
3. Recently, the trading atmosphere in the dye market has been lackluster, and the downstream printing and dyeing factories have started relatively stable. The procurement of dyes is still based on rigid demand. Traders mostly follow the market, but combined with the production of autumn clothing According to the plan, the mainstream factory’s intention offer price will be raised in early September, and Zhuo Chuang expects that the transaction price of the dye market will have an upward momentum in the short term.
Supply and demand determine the market. Whether dye prices will continue to be stable or adjusted in the future depends first on the acceptance of downstream printing and dyeing factories, and secondly on the production conditions of printing and dyeing factories. There is rigid demand from the downstream. , then the implementation of dye prices will be better.
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