Wide DOP market in North China area of Tianjin higher level spot supply is tight, the raw material of phthalic anhydride crazy increase, supporting manufacturers very price, higher center of gravity. Current market reference price 8500 yuan / ton about.

The operation of the Dushanzi Petrochemical two glycol device is normal, the implementation of the factory price of 6850 yuan / ton, price increase 260 yuan / ton.

Sales oriented enterprises in Xinjiang, the normal operation of equipment. Device manufacturers to produce 400 tons of near normal.

Sinopec Sales Company of Shanghai petrochemical, Yangzi Petrochemical two glycol price 6800 yuan / ton, price stability, inventory, delivery and reasonable operation, each business unit normal.

Two glycol offer excellent products of Southern China Petrochemical Company 6550 yuan / ton, can offer 6450 yuan / ton, price increase 200 yuan / ton, reasonable inventory, sales and normal operation of enterprises, two glycol device stable, monthly production of 200-300 tons. Two glycol

Market summary: at present, two DEG port inventory is still lower, the spot market is supported. Glycol related products listed, the delivery rule gradually unveiled the market, market sentiment picked up the electronic trading market actively pull, maintain the spot market rose to 7000 yuan / ton, the market continues to heat up, but also buying high-end market scarce, cautious chase.

Finance at present, the domestic device operates normally. In the short term is expected to two DEG or continuation high.

Overview two glycol market of some areas in China in December 14th:

The operation of the Fushun Petrochemical two glycol unit normal, factory price 6200 yuan / ton, the normal sales.

Jilin Petrochemical two glycol factory price 6200 yuan / ton, offer a planned increase in business inventories, reasonable, mutual supply, part of the export, the normal operation of enterprises of ethylene glycol plant.

Chinese domestic paraquat to stop the use of new market space for glyphosate. At the same time, if the future can accelerate the promotion of genetically modified crops in China, there will be increased to lower demand for glyphosate.

Because the price of glyphosate has nearly 3 years of decline in the channel, the manufacturers and channel inventory is very low, with prices rising and coming South American consumption season, related restocking will strongly, then push prices up.

The supply side:

The environmental protection policy to suppress the rising cost of production, pushing prices. Global glyphosate capacity mainly concentrated in the United States and China China Monsanto 8 ~ 10 large agricultural companies. Monsanto has a production capacity of 250 thousand tons; the operating capacity of about 870 thousand tons.

Because the price of glyphosate has been low for a long time, so the domestic industry operating rate is low, part of the small capacity in production. Recently, the central organization of Environmental Protection Inspectorate stationed in various provinces and cities, environmental pressure, small production capacity is difficult.

With glyphosate downstream consumption and inventory requirements increase, industry operating rate and profit rate increased. At the same time, due to the local environmental protection policy limiting part of glyphosate upstream raw material production started recently, glycine and other raw material prices rise, pushing up the price of glyphosate.

The near future， glyphosate Is currently the world’s largest herbicides, the recent strong rebound in prices. Glyphosate herbicide with excellent performance, environmentally friendly, since the glyphosate resistant transgenic seed market, glyphosate soon became the world’s largest single pesticide agent.

In 2014 the global consumption of 720 thousand tons of glyphosate. Glyphosate prices started to rise since 2011, to the second half of 2013 to reach the highest point of 44 thousand yuan / ton, then as long as 3 years into the down cycle.

In August 2016, the price of glyphosate reached a low of 17 thousand yuan / ton, has rebounded to 22 thousand ~ 25 thousand yuan / ton.

Demand side:

The downstream consumption growth steadily, the stock bottomed rebound soon. Global glyphosate downstream consumption growth is slowing, but the global transgenic crop area in the future there is still room for growth, will bring incremental demand for glyphosate.

Recently, OPEC members of Congress on the period, Saudi Arabia agreed to own to cut output by 10 million 60 thousand barrels / day, this figure is slightly lower than the July to maintain the highest daily production of 10 million 700 thousand barrels / day.

Data show that the fund manager in WTI short positions or falling prices that has decreased by 45%, which relates to the futures and options for the number of 80 thousand and 285, while the decline since 2011 is the largest of the time. However, long positions rose 4.6%, the net growth rate of 43%.

13, xylene price stability, the solvent of xylene to discuss the market reference price in 4700-5600 yuan / ton, heterogeneous xylene reference 4950-5500 yuan / ton. Xylene solvent market offer 4700 yuan / ton (Zhangjiagang tank), domestic heterogeneous xylene market offer in 4700-4750 yuan / ton (tank). The central branch of Sinopec Changling refinery, xylene: Wuhan petrochemical, China Petrochemical 4700 yuan / ton.

At present, Sinopec Southern China Guangzhou Petrochemical Company solvent xylene: the implementation of 5450 yuan / ton, Maoming petrochemical price 5300 yuan / ton; heterogeneous xylene: Guangzhou petrochemical, Zhanjiang Dongxing are the implementation of 5450 yuan / ton. North China sales company Sinopec Qingdao refinery, Tianjin: xylene ethylene and Shijiazhuang refinery implementation of 4700 yuan / ton. Sinopec East China sales company xylene: Yangzi BASF, Zhenhai Refinery quote out 5600 yuan / ton. Liaoning huajintongda chemical Limited by Share Ltd xylene quotation implementation of 5380 yuan / ton, price stability.

At present, the domestic shale oil producers are using frozen OPEC agreement to produce property prices rebound, to hedge their risk in 2017 and 2018 prices rose to $50 a barrel above. This price trend will potentially boost U.S. domestic crude oil exports next year, is expected to rise in the price of xylene.

The clean gasoline production technology of M-DSO Joint Development Research Institute of Fushun Petrochemical Co and Chinese Petroleum Petrochemical Research Institute of petroleum China independent intellectual property rights, in Xinjiang Taxinan Petrochemical 80 thousand tons / year catalytic gasoline hydroupgrading device to drive a success. This is the successful application of this new technology following the successful use of the Ukrainian petrochemical, the successful application of the second sets of industrial equipment.

M-DSO technology is to reduce the sulfur content of catalytic gasoline at the same time, through aromatization (or isomerization reaction) to olefin transformation into aromatic hydrocarbons (or isoparaffin) key technology of reducing olefin hydrogenation desulfurization process for the octane value of clean gasoline production losses. Through the selective hydrogenation desulfurization technology development, hydroupgrading technology and research, research and development of raw materials adaptability combination technology, the selective hydrogenation desulfurization technology and hydroupgrading technology organically, to solve the single selective hydrodesulfurization process high sulfur in FCC gasoline or bring to the ultra deep desulfurization of ultra low sulfur clean gasoline production the octane number loss of technical difficulties, the desulfurization and olefin reduction while preserving octane number, and provides technical support for the upgrading of the quality of domestic refinery gasoline upgrading.

In order to ensure that the technology is successfully put into use, Fushun Petrochemical Research Institute and partners to carry out a lot of preparatory work. According to the characteristics of the southwest tower device, with several device technical personnel exchanges and demonstration, developed a device feasible construction program, strictly follow the “safety first, environmental protection first, quality first, long-term and stable operation of the principle of” scientific and technical backbone started from technical service team, from the catalyst loading, drying, curing, passivation to the early operation of all links are in strict accordance with the procedures, the implementation of scientific research and technology from the laboratory to the popularization and application of the device, the device to achieve a smooth and orderly construction, safe and stable operation, realized the start device.

At present, Taxinan petrochemical raw materials of FCC gasoline hydrodesulfurization and modified products, in gasoline octane number loss under the condition that the sulfur content in line with the requirements of the National IV standard (50ppm). Fushun Petrochemical independent intellectual property rights of FCC gasoline hydrogenation modified FO-35M catalyst, obtained a high degree of recognition of oil refining enterprises. It is understood that this technology will soon use in Yumen petrochemical.

In this regard, PetroChina Planning Institute Vice President Han Jingkuan explained that with the new pricing mechanism linked to alternative energy has yet to achieve a dynamic adjustment.
“Although the Commission has identified the gate price and price of fuel oil and LNG hook, but how to hook, dynamic adjustment, changes in market supply and demand how to adapt to changes in international oil prices, the current situation has not fully realized.” Han Jingkuan analysis.
Data show that in 2012 after the natural gas prices using the market return value method, in 2014 the international oil prices fell rapidly, because the price of natural gas has not been adjusted dynamically, the supply price is higher, natural gas demand slowed.

Han Jingkuan also pointed out that the seasonal gas price, including peak and Valley gas prices and so on in the whole price of publicity which is not fully reflected in the market will have a certain impact. Part of the intermediate links and space air supply more, part of the terminal gas prices and the price of the upper reaches of the upstream gas prices did not form a linkage mechanism, resulting in the use of high prices, the impact of the scale of consumption.”
In this regard, Li Wei suggested, should be in accordance with the economic law and the natural gas industrial technological and economic characteristics, establish a reasonable natural gas price mechanism and taxation system, straighten out the gas prices, gas prices, improve the seasonal peak and valley price of gas and auxiliary gas price service life of residents.

The “report” further suggestions, straighten out the residents living with gas price, cancel the civil and non civilian gas prices cross subsidies, according to the actual cost of gas supply to determine the different amount of gas prices, reserved for people living in difficult and special groups of appropriate subsidies or relief mechanism, “subsidies to clear up”.

Li Yangzhe said that in the future to improve the proportion of natural gas at the same time, to ensure the safety of supply.
“In recent years, China’s increasing dependence on natural gas, has led to concerns and concerns. 2015 has been close to 32%, an increase of 1.5 percentage points over the previous year, so we must control the degree of dependence on foreign in a reasonable range.” Li Yangzhe explained.

Li Yangzhe analysis, to make good use of foreign resources, the potential resource of China, can not relax. If the domestic exploration and development on more time, you can effectively ease the pressure on imports, the next step we should adhere to the direction of market-oriented reforms, to mobilize the enthusiasm of the parties to the exploration and development of oil and gas resources.
Li Wei suggested that the upstream area to promote the release of natural gas, expanding market access, and gradually form a large state-owned oil and gas companies as the dominant, a variety of economic elements to participate in the exploration and exploitation of the market system.
At the same time, Li Yangzhe said, the next step will be to actively promote the reform of natural gas prices.

The merger and reorganization of the titanium dioxide industry, integration of resources is in line with the strategic thought of supply side reform.

General secretary Xi Jinping at the recent meeting of the central financial work leading group meeting, once again stressed the “supply side” to reform in the moderate expansion of aggregate demand at the same time, to production, to reduce inventory, ineffective supply. Premier Li Keqiang held a series of meetings of the State Council, to discuss specific issues of capacity. Titanium dioxide chemical industry as a key area of supply side reforms, will usher in the quality and efficiency of the opportunity.

In addition, according to the titanium dioxide pollution prevention and control, will further accelerate the integration capacity. Domestic titanium dioxide production capacity of over 100 thousand tons of enterprises only about more than 10, but less than 50 thousand tons of enterprises, the total production capacity of nearly 500 thousand tons, if this part of the production can be eliminated, the total capacity of the industry will be reduced by about 20%. This means that the titanium dioxide industry in the future, who is more powerful who are more right to speak, who can dominate the market.

The end is not the acquisition of billions Lomon titanium titanium dioxide industry mergers and acquisitions, but is just the beginning, in the future of the stock market, enterprise of domestic titanium dioxide will also carry out large-scale mergers and acquisitions, and ultimately the formation of oligopoly industry.

Titanium dioxide enterprises to accelerate the pace of listing