From the rubber and plastic index trend, the rubber and plastic index continued to rise in June, from the beginning of the month 590 points rose to 612 points on June 30th. Compared with the beginning of the month 3.73%, the overall rise at the end of the month, the

From the point of view of the performance of varieties, in June toot rubber and plastic list of rubber and plastic products increased compared with the previous month. Business organizations to monitor the 18 varieties, there are 14 ring growth, accounting for 77.78% of the total number of goods monitored by the industry.

According to doudoune moncler price monitoring, June 2020 commodity prices on the list of rising prices of rubber, plastic plate fell 1.81% and 3.83% in May. The products on the list grew by more than 5%, accounting for 27.8% of the total number of products monitored by the industry.LDPE (8.09%) and HDPE were the top three products that grew by 5%. (7.85%) and BR (5.77%). The three top decliners were PP (meltblown) (-19.44%), NR (-0.42%) and NBR (-0.24%).

From the characteristics of the rubber and plastic industry upstream industry, the downstream rubber industry is mainly composed of tire companies. Affected by the international trade situation, tire exports continue to be blocked this year, resulting in a sharp decline in downstream tire production year-on-year. Data show that in the first five months of 2020, China's cumulative exports of rubber tires was 2.11 million tons, January-May year-on-year decline of 18.6%, with 160 million new inflatable rubber tires. Exports were down 21.1% from last year. The data showed that in May 2020, South Korea's rubber tire production was about 68,929,000 pieces, down 4.32% year-on-year and up 3.48% from a year earlier. From January to May, South Korea's rubber tire production was about 287, 193, 000 pieces, down 14.6% year-on-year.

However, the domestic downstream plastic products and agricultural film consumption accounted for a relatively large proportion, the impact is relatively small. The overall recovery of the plastics industry is better than the rubber industry. According to the Ministry of Commerce and Industry, from January to May 2020, the domestic plastic products industry output was 27.574 million tons, down 4.2% from last year. In May, the domestic plastic products industry output of 6.69 million tons, an increase of 9.2%.

OPEC in early June The meeting decided to extend the production cut period by one year to the end of July, and member countries strive to improve the performance of production cuts, which has become an important driving force for the continued rebound of oil prices. June. However, the continued rise in the number of COVID-infected and the reopening of the economy continue to have a significant impact on crude oil prices. As a result, WTI and Brent crude oil rose sharply in May and fell slightly in June. Despite the rapidly rising costs in the rubber and plastic market, there is still strong support.

In June, China's manufacturing purchasing managers index (PMI) 50.9%, up 0.3 percentage points from the previous month. The Chamber of Commerce Product Supply and Demand Index. (BCI) rose by an average of 1.07% to 0.18, reflecting the expansion of the manufacturing sector and a more stable economic operation than last month. Prices and volumes continue to rise in the rubber and plastics markets as the manufacturing sector gradually recovers.

According to todudu, LDPE prices rose from 7,725 yuan/ton at the beginning of this month to 8,350 yuan/ton. By the end of this month, the overall increase was 8.09%. In June last year, PE equipment was fully inspected and the total utilization rate reached the lowest level in 6 months, and the domestic supply rate also reached 80%. In addition, PE prices were also rising due to supply shortage of some brands and rising prices of petrochemical products. However, with the entry of the off-season, downstream companies showed signs of contraction, and the demand side also showed a small contraction, which inhibited the rise of PE prices.

PP meltblown material prices fell sharply. According to Todudu monitoring, PP meltblown material price at the beginning of the month was 24,000 yuan / ton, the end of the month price of 19,333 yuan / ton, an overall decline of 19.44%. At the same time, after the expansion of global quarantine material capacity, the mask capacity is sufficient, PP meltblown material inventory is high, and the demand is further reduced. On the other hand, domestic supply of PP meltblown material was relatively sufficient. The tension between supply and demand has eased, and the price of PP meltblown material has declined.

Natural rubber weakened slightly in June. According to the monitoring of Tudou.com, the price of natural rubber was RMB 10,120/ton at the beginning of the month, and the price was RMB 10,078/ton at the end of the month, which was down 0.42%. First of all, the pressure on natural rubber inventories is still high, inhibiting the upside potential. As of June 23, Shanghai Futures Exchange warehouse registration is expected to be about 230,000 tons, about 184,000 tons less than the same period last year. However, natural rubber stocks in Qingdao Free Trade Zone increased by more than 260,000 tons from the beginning of the year. Secondly, natural rubber prices rose sharply in June due to the decrease in new natural rubber production and shortage of imports. According to Tudou.com, production in Yunnan and Hainan was very low in June last year due to the lack of new rubber cutting conditions. In addition, the import index, which was scheduled to be released in April, was not published until June due to special circumstances in 2020. Lastly, the downstream tire market showed limited improvement, making it difficult to provide strong support for sky rubber. Generally speaking, supply and demand factors limited the upward channel of June sky rubber.

Market Forecast

The analysts of Rabbit Doodle Rubber & Plastic Industry believe that the rubber and plastic market will be weak in July. From a cost perspective, the current price of crude oil is around $40 per barrel. Due to COVID-19 and the impact of overseas protests in late May, the outlook for crude oil demand is not optimistic, crude oil is unlikely to soar again, rubber is difficult to find new cost support. and the plastics market. And the plastics market. On the demand side, July is a slow month for the plastics and rubber industries. Exports became more difficult than usual due to the COVID-19 global pandemic. The rubber and plastics markets were mainly supported by domestic demand. Generally speaking, the rubber and plastic market is not well supported. Generally speaking, it is expected that the growth rate of the rubber and plastic market will continue to shrink in July, and the number of planted varieties may also decline.

If you have any questions, please feel free to contact toodududu (tdd-global@toodudu.com).