Heilongjiang Province's import and export value increased by 12.3% year-on-year in 2023, reaching a record high of 297.83 billion yuan. China's grain output also hit a record high of 1,390.82 billion catties in 2023, up 17.76 billion catties from the previous year. SUNGROW reported strong financial performance, with net profit expected to rise by 159%-187% year-on-year. The pig market is expected to improve in the second quarter.

In terms of coal production areas, the weather has cleared up in Yulin, Ordos and other places in Shaanxi, and roads in mining areas have gradually returned to normal. However, the impact of snowfall on the pit market has not completely dissipated.

The disclosure announcement of China Nuclear Titanium Dioxide, the leading manufacturer of titanium dioxide, announced that the company will comprehensively increase the sales prices of all models of titanium dioxide starting from January 19, 2024. Among them, the sales price for domestic customers is increased by 500 yuan/ton, and the sales price for international customers is increased by US$100/ton. Just three days ago, companies including Longbai Group and Huiyun Titanium also announced price increases.

The demand for polyester chain stocking during the Spring Festival has started. With the holiday approaching and fundamental support, the price support is strong. After the holiday, the industrial chain is affected by strong supply and there is a certain expectation of accumulation of inventory. However, it is expected that inventory will not exert much pressure on prices, and the market will have a strong willingness to support prices. The market situation with "strong expectations" after the Chinese Lunar New Year in 2023 will Continued in 2024.

The main crude oil futures contract fluctuated during the week this week. As of Friday's close, the SC crude oil main contract closed at 566.3 yuan/barrel, down 0.65% from last Friday's close.

As of the close of Friday on the futures market, the methanol contract has slightly reduced its position today, with 5,161 positions in the weighted methanol contract and 4,966 positions in the 05 main contract. The weighted contract, the intraday trend, fluctuated downward throughout the day, closing down 0.8% overall.

The RU2405 month contract opened this week at 13,800 points, with a maximum of 13,950 points and a minimum of 13,635 points. It closed at 13,875 points, an increase of 105 points, with a trading volume of 1,025,916 hands and an open interest of 160,139 hands.

The demand for coke continues to weaken, inventories in the lower reaches of the industrial chain continue to rise, and steel mills are strongly willing to lower coke prices. This week, the second round of coke shipments has landed. The closing price of quasi-first-class wet quenching coke in Rizhao Port is 2,340 yuan/ton, and the ex-warehouse price is 2,300 yuan/ton. tons, equivalent to a warehouse receipt cost of about 2,510 yuan/ton. After the second round of coke price cuts, the main coke contract is still at a slight discount.

From a fundamental point of view, the start-up in mainland China is basically stable. This week, the average start-up rate of Zhuochuang methanol is 71.35%, and the start-up rate in northwest China is 82.72%, a slight increase from last week. Jiutai Tuoketuo's 2 million tons/year methanol unit will be installed in January 2024. It was shut down from January 5th to 11th. Shaanxi Weihua's 400,000-ton unit started maintenance for seven days on the 10th. Southwest gas plants restarted on the 25th, Jiuyuan and Sichuanwei on the 25th and 9th respectively.

Fundamental overview: According to the Natural Rubber Network, the main production areas at home and abroad are approaching the off-season of supply, coupled with the replenishment of upstream factories, raw material prices are firm

Shandong Province aims for over 5% GDP growth in 2024, while GCL Group secures a significant 1.56GW N-type module procurement project. Additionally, PetroChina establishes a digital intelligence research institute with a focus on AI and robotics, and the first ultra-deep shale gas well in southern Sichuan achieves high-yield industrial gas flow.

Xinjiang Khorgos Port recorded a record-high import and export freight volume of 41.784 million tons in 2023. Meanwhile, China's express delivery business volume reached 132 billion pieces, maintaining its global leadership for ten consecutive years. Other notable developments include Guangdong's support for Nansha's financial industry expansion and the gradual subsiding of tensions in the Red Sea region, impacting the Persian Gulf route's freight rates.

China remains optimistic about the consumption trend in 2024, despite global economic challenges. A significant lithium discovery in Yajiang, Sichuan, has the potential to boost the domestic lithium industry. Additionally, Anhui Province saw a substantial increase in RMB loans, and the National Development and Reform Commission is promoting the expansion of new energy vehicle consumption.

China remains optimistic about the 2024 consumption trend, supported by a large market, urban-rural integration, and continuous policy efforts. The government's low debt and inflation levels provide ample room for macroeconomic policy implementation. Trade remains stable with optimized structures, and automobile production, especially new energy vehicles, saw significant growth in December.

China's State Intellectual Property Office is improving patent examination standards for new technologies like AI and big data. Meanwhile, Guangxi's total import and export value reached 693.65 billion yuan in 2023, marking a 7.3% increase year-on-year. The ten thousand ton battery-grade lithium carbonate project in Zabuye Salt Lake has entered trial production, and China Coal Group plans to liquidate its 20% stake in Shanyin Rural Commercial Bank.