Commodity index: on July 31, the commodity index of polyaluminum chloride was 84.40, which was the same as yesterday, setting a new low in the cycle, which was 22.58% lower than the peak of 109.01 on August 28, 2019. (Note: cycle refers to the period from April 1, 2019 to now)

The data shows that polyaluminum chloride in the second half of July 2020 showed a slight fluctuation and decline trend. In the first half of this month, domestic manufacturers’ quotation price adjustment was relatively frequent compared with that in the first half of this month, but there were still adjustments in the second half of the month, but the number of times was relatively reduced. Individual enterprises’ single fluctuation could reach more than several hundred yuan per ton, but the basic fluctuation was up and down, and the overall market was still light, and the enterprise sales pressure was great. For polyaluminum chloride with solid content ≥ 28%, the mainstream quotation was about 1592.86 yuan / ton on the 16th of this month, and 1561.43 yuan / ton on the 31st, with the price falling by 1.97%. At present, the price range of polyaluminium chloride monitored by the trade organization is generally quoted: liquid: industrial grade, content 10%-12%) quoted price is 390-400 yuan / ton; solid: industrial grade, content 20-21% quoted price 770-860 yuan / ton, content 24% quoted price 1200 yuan / ton, content 28% price 1400-1550 yuan / ton, content is more than 30%, price 1500-1600 yuan / ton, plate and frame type: 28% yuan, price 1500-1550 yuan / ton; spray type: content is more than 30. %The price of drinking water grade is 1700 yuan / ton when the content is more than 28%; the price of food grade is about 2800 yuan / ton when the content is 30%. In the first half of July, the price of various specifications of polyaluminum chloride was reduced by about 50 yuan / ton, and the demand and transaction atmosphere did not improve much. The manufacturers lowered the price once about one day, and then generally once again, but each time with a small range. In the second half of July, the reduction range was basically between 20-50 yuan / ton, and the manufacturers were more stable. The overall change range in the second half of July was less than 2%, which was a small reduction.

According to the data of business agency, the mainstream ex factory price of hydrochloric acid in North China increased in July, 312 yuan / ton on July 1, and 357.50 yuan / ton in Shandong on 31 July, with a monthly increase of about 14%. The actual transaction price of manufacturers is subject to negotiation. From the perspective of the upstream and downstream industrial chain of hydrochloric acid, the upstream liquid chlorine market is general, which gives weak support to hydrochloric acid, while the high consolidation of the downstream silica and ammonium chloride market has a positive impact on hydrochloric acid and has a certain support for the price of hydrochloric acid. This week, the hydrochloric acid market as a whole seems to rise slightly, and the difficulty of hydrochloric acid delivery is still a big problem. Downstream: China’s economic situation improved in the second quarter, and the recovery effect of major industries began to show. At present, the water treatment industry did not improve much. The inventory of polyaluminum chloride manufacturers was high, the sales pressure was large, and the price was slightly reduced to alleviate the inventory through sales promotion.

As far as the whole industry is concerned, the first month of the second half of 2020 has passed, and the situation in the third quarter will continue to improve, but the speed is not too high. During the period from the Spring Festival holiday to February 20, the relevant enterprises in the main production areas stopped production and delayed the resumption of work; after February 20, the manufacturers in the main production areas successively resumed their work and production; in March, the logistics gradually recovered, and the transportation costs returned to normal; in April, the overall production was normal, and some enterprises’ inventory was still high due to the difficulty in shipment, and the output was affected; in May, the overall demand for polyaluminum chloride did not recover, and the market situation was relatively high In June, the raw materials did not change much, and the natural gas used for drying rebounded by about 1% from the bottom this month, and then turned downward, with a slight drop of about 0.25% in the whole month, which had little impact on the market. The downstream demand of polyaluminum chloride is still weak, which is the industrial environment of water treatment, and the overall situation in the first half of the year has not changed much. In July, under the influence of the weak environment, the market demand is not good, and the market of polyaluminum will inevitably continue to be weak, and the sales pressure is great. The small price reduction is more obvious in the first half of this month, and the frequency of downward adjustment in the second half of this month is relatively lower and more stable. However, from the perspective of the half month trend, it is not surprising that it shows a downward trend.

In terms of the future market, the business agency analyzed that the water treatment industry had slightly lowered the price since the beginning of the month, but the overall reduction has not been significant, but the frequency is more frequent than that in previous months. Under the premise of no fundamental changes in the industrial environment, the trend of polyaluminum chloride will be mainly stable and small, but the overall decline will not be very large. For raw materials in this month, some manufacturers reported that the price changes of calcium powder and hydrochloric acid were obvious, which had a significant impact on the manufacturers purchased this month, but had little impact on the manufacturers with stock up; the downstream demand was the biggest influencing factor.