nventory reduction, the upper reaches of rubber tire industry downstream demand growth, bottom reversal. The operating rate increased dramatically at the beginning of November, steel tire and semi steel tire operating rate recovered to 70 and 74%. The low-end high-end industry overcapacity, a serious shortage of production capacity, the next 2 years the industry concentration is expected to increase. Rubber prices nearly 5 years in the downlink channel, restocking is expected to continue until 2017, natural rubber prices are expected to continue to increase steadily.

Prices, tighter environmental protection industry to accelerate the urea production capacity in 2017 is expected to reverse. The industry of new capacity decreased year by year, exit capacity increased year by year. As of November 2016, the whole industry long-term production and exit the production capacity of 10 million 30 thousand tons, the total production capacity of 11.86%. In 2016, short-term production and production capacity in the maintenance of up to 13 million 610 thousand tons, the production capacity is only 2 million 980 thousand tons of time. In April 20, 2016, the abolition of preferential tariff and fertilizer, help to accelerate the elimination of backward production capacity, promote technological innovation, to alleviate the significant overcapacity in nitrogenous fertilizer enterprises. Urea prices have dropped nearly 10 years to the freezing point, coal prices continued to rise, the spring season demand is expected to promote the steady rise of the price of urea. Q fluorine chemical industry is expected to adjust refrigerant and healthy development of new materials, a huge market space. The domestic and foreign environmental protection policy and upgrading, speed up the elimination of R22 and HCFCs refrigerant. Automotive air conditioning refrigerant R134a mainstream products of considerable demand, industry concentration is expected to continue to improve. Fluorinated polymer is an important transition direction of fluorine chemical industry, the global market size of over $7 billion.

Electronic chemicals by the rise of the trend of rapid development of electronics industry. With the rapid growth of Chinese electronics industry, supporting the localization trend of electronic chemicals is irreversible. We favor with continuous innovation, at the forefront of the industry in China, and is expected to break through the high-end electronic chemicals market quality enterprises.