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Chinese ACN trends in declining mode
Jun '12

The Chinese domestic acrylonitrile (ACN) market continues to decline in recent days. Cargoes at Chinese ports have started to expan since last week.

The overall operating rate of downstream enterprises remains at about 40-50 percent; analysts believe that oversupply situation still remains in the market.

As June to August, will be traditional off-season period, market demand is difficult to turn better due to various bearish factors.

In addition, buyers are waiting for lower price level in current sluggish situation, which further weighs on the market, while actual transaction is light.

Mainstream price is in the range of 12,200-12,400 Yuan / ton at Chinese ports, mainstream discussion level is around 12,100-12,300 Yuan / ton, lower price level is down to 12,000 Yuan / ton or even lower.

Mainstream price in Shandong province is in the range of 12,300-12,500 Yuan / ton (to be delivered to buyer's destination), discussion level is in the range of 12,200-12,400 Yuan / ton, and lower price level is down to 12,100 Yuan / ton.

Price of ACN spot import price too continues to decline. It is reported that spot cargoes were offered at US $1,550 / ton (CFR China main port) last week, which whne converted into local currency stands at about 12,000 Yuan / ton after deducting tax.

Fibre2fashion News Desk - China

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