Ethanol: China's ethanol market stabilized on June 18

On June 18, the general ethanol price index was 5,992.5, maintaining stability.

Today, the general trend of China's ethanol market has stabilized, with some slight declines. Hot spots on June 18:1. Market prices in Northeast China have temporarily stabilized. 2. Market prices in East China have been adjusted within a narrow range in some areas. 3. Market prices in Central China fell slightly. 4. The market price of ethyl acetate in China has weakened. Major factories in Shandong have bid for sales, and the starting price has been lowered, resulting in poor on-site trading atmosphere.

Specifically, the overall Northeast region is temporarily stable, and factories mainly implement order contracts. Today's reference price in Jilin: the price of general-grade corn ethanol is 5,700 - 5,750 yuan/ton, and the waterless price is 6,350 - 6,600 yuan/ton. Heilongjiang reference price: general-grade price is 5,530 - 5,700 yuan/ton, and the waterless price is 6,150 - 6,250 yuan/ton. The Shandong market in East China has partially weakened, and the quotations of low-quality factories have weakened. Today's reference price in Shandong: waterless cassava reference 6700 yuan/ton, general cassava reference 6000 yuan/ton. The reference price for premium grade is 6,700 - 6,700 yuan/ton, the reference price for general grade wheat is 5,900 - 5,950 yuan/ton, and the low-end price is reduced by 50 yuan/ton compared with the previous working day. Today's reference price in northern Jiangsu: general reference price is 6,000 - 6,000 yuan/ton, waterless reference price is 6,700 - 6,800 yuan/ton, including tax. Reference price in southern Jiangsu: general reference price 6,050 - 6,300 yuan/ton. Reference price in Anhui: general reference price 6150-6200 yuan/ton. Market prices in Central China have been consolidated within a narrow range. Starting this week, vehicles in Henan have decreased and prices have begun to fall. Today's reference price in Henan: excellent level is 5900 yuan/ton, high-end price is reduced by 50 yuan/ton compared with the previous working day, and waterless is 6,700 - 6,750 yuan/ton.

Outlook forecast: China's ethanol market is expected to stabilize and move slightly in the short term. In terms of edible ethanol: The number of vehicles in some factories in Henan decreased, and factory prices were lowered accordingly. Stability maintenance in Northeast China mainly implements pre-order contracts. After the increase in northern Jiangsu, prices stabilized and goods improved. In terms of coal-to-ethanol: The spot supply of coal-to-coal is still tight, relying on sources from Northeast China to supplement it. In terms of anhydrous ethanol: Heilongjiang's major factory has shipped water normally, but Jilin's orders are being implemented, and the goods are being shipped smoothly, which is good for the firm price. In terms of fuel ethanol: The current quotation is relatively stable. The previous pricing contract is being shipped out of the warehouse, and the shipment volume has increased compared with the previous period.

Raw materials: Corn market prices are relatively strong, grassroots circulation is tight, and high temperature weather is approaching. Under the influence of the supply side, bullish sentiment in the market is strong. DDGS prices are operating weakly and steadily, the overall operating rate is declining, supply is tightening, but the demand in the terminal downstream market is not good. The price of dried cassava has been stable recently, and the cost of cassava alcohol has been relatively stable.

Supply: Hongzhan Laha and Jixian are producing at full capacity, Zhaodong COFCO's edible equipment is shut down, and fuel line production is produced. Jinyimeng was shut down without water, Chifeng Ruiyang started at half load, and others remained stable. Anhui Tanxin was delayed until the end of the month due to plant debugging and production reduction, Huanan plant shutdown and maintenance, and the restart of Fukang Line 2/3.

Demand: In the off-season of liquor procurement, chemical stocks are expected to be replenished this week.

Logistics: Logistics in Northeast China is still tight and freight rates continue to rise.