PP raw mateiral price increased CRAZY

The overseas epidemic continued to spread, and the demand for masks was also growing. The shortage of mask raw materials led to a sharp rise in the price of polypropylene, which was once quite crazy, and even doubled the next day.
The reason is that the melt blown cloth known as the “heart of mask” is not “you can buy it if you want” because of its high price and directional supply, which leads many small and medium-sized enterprises to use fiber materials to produce substandard melt blown cloth for inferior masks. At the same time, it also attracted more than 20 refining and chemical enterprises to switch to fiber materials.
Li zhenchen, an analyst at less better, an energy and chemical consulting company, told the Securities Daily that the sharp rise in polypropylene prices was mainly caused by the production of low-quality masks. At present, many chemicals will have to stop production in the future because of the competition for polypropylene.
Due to the irrational rise in polypropylene prices, relevant departments have begun to introduce measures to regulate the production market of masks and melt blown cloth.
The industry believes that with the batch listing of two barrels of oil and other central enterprises’ meltblown cloth, this round of false prosperity of polypropylene is expected to return to rationality.
Polypropylene prices soared
In the second weekend of April, the domestic propylene market experienced a historic market fluctuation. The mainstream price of propylene in Shandong market soared from 5900-6000 yuan / ton on April 10 to 8000 yuan / ton on April 12, with a price difference of 2050 yuan / ton, an increase of 34.5%.

Sinochem, known as the “wind vane” of Shandong propylene market, pushed 5000 yuan / ton to 12000 yuan / ton on the 12th, while the mainstream market offer also rose from 1000 yuan / ton to 8000 yuan / ton.
Meanwhile, on April 13, the auction price of Shenhua Baotou s2040 reached 22000 yuan / ton. On April 10, the price was only 11000 yuan / ton.
“Now if you change hands on a car of polypropylene s2040, you can arbitrage 2 million yuan.” Some people in the industry lamented to the reporter of Securities Daily.
It is understood that the outer layer of the mask is mainly composed of polypropylene fiber material with melt fingers of 35-40, and one mask needs to be composed of two layers of fiber material and intermediate melt blown layer. The continuous spread of overseas epidemic has led to a sharp increase in the demand for polypropylene fiber material.
“Affected by the global epidemic, the supply of masks is in short supply, the demand for polypropylene mask materials and fiber materials downstream of propylene is soaring, and domestic petrochemical enterprises are actively switching to high melt fiber materials.” Yang Lin, an analyst at Zhongyu information, told the Securities Daily that during the same period, many small meltblown line devices were intensively launched in the market. The demand for high melt fiber materials increased sharply, and the price of fiber materials increased rapidly, further driving the polypropylene market higher, while other brands of products are also in short supply.
The polypropylene powder Market in Shandong soared from 7100-10000 yuan / ton on the 10th to 13000-15000 yuan / ton on the 12th. The operating load of polypropylene production enterprises increased rapidly, the demand for raw propylene increased sharply, and the propylene price rose all the way.
Due to the strong demand for masks, it is difficult to find a “cloth” for melt blown cloth. However, melt blown cloth is not capable of production by any enterprise, nor can any enterprise buy it if they want to buy it.

Within a month, raw material prices were soaring

In order not to reduce the quality of products, better service customers

We decided to increase the price by 10 percent

Plastic hollow plate is a kind of product with light quality but strong practicality

So the price increase of materials will not affect our production enthusiasm

Hope that customers and friends are willing to work with us to tide over the difficulties



Post time: Jul-26-2021