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After three years of strict environmental protection investigation, the prices of various industries in 2018 will continue to rise!

Releaseder:China Feed Industry Information Network Released Time:2018-03-03 Font Size:Large|Medium |Small

       CCTV reported that environmental protection will be strictly investigated for three years, and prices in various industries will continue to rise in 2018!

 

 

Recently, CCTV News reported that Minister of Environmental Protection Li Ganjie pointed out at the 2018 National Environmental Protection Work Conference that the next three years of combating pollution prevention and control, the top priority is to win the blue sky defense battle and further significantly reduce PM2.5 concentration.

 

Industry experts said: In 2018, the environmental protection situation is still grim, and chemical raw materials will continue to rise in price.

 

Environmental protection must be rigorously investigated for 3 years

 

According to CCTV reports, environmental protection will be rigorously investigated for three years from 2018. This time, in addition to the Beijing-Tianjin-Hebei region and surrounding areas and the Yangtze River Delta region, the Fenwei Plain (including Shanxi Province and Shaanxi Province's Xi'an and Xianyang) will be included in the key air pollution prevention and control areas for the first time.

 

In 2018, the Ministry of Environmental Protection needs to focus on the following tasks: comprehensively launching the combat plan to win the blue sky defense battle. Formulate and implement a three-year plan to win the blue sky defense battle, and promulgate an implementation plan for the prevention and control of atmospheric pollution in key regions including Beijing, Tianjin, Hebei, and surrounding areas, the Yangtze River Delta, and the Fenwei Plain. The average concentration of PM2.5 cities that did not reach the prefecture level and above decreased by 2% year-on-year; the ratio of days with good air quality in prefecture-level and above cities reached 79%; the emissions of sulfur dioxide and nitrogen oxides continued to decrease; the pollution control of scattered coal and motor vehicles continued .

 

Insufficient raw material capacity

 

Global decapacity has been going on for some time, the most notable of which is that since the decapacitization of many large international companies in 2016, TDI supply has been insufficient, and domestic TDI prices have risen all the way, reaching 50 million yuan / ton, refreshing people ’s Three views! And the impact of the 2017 emergency on chemical production capacity is not small! For example, Hurricane Harvey landed in the US Gulf of Mexico region, causing a huge impact on the local oil and refining industry, accounting for more than one-third of US chemical products Production capacity was suspended, and shortages in the international market caused changes in domestic product prices. Among them, the impact of MDI (diphenylmethane diisocyanate) products is very obvious, creating a hot market from August to September.

 

Crude oil price surge and price monopoly

 

Saudi Arabia and Russia pledged to extend production cuts at the OPEC meeting in Vienna on November 30, which provided favorable support for the supply side of the crude oil market. Investment banks such as Goldman Sachs and UBS raised the expected price of crude oil. However, shale oil extraction in the United States may make OPEC's efforts to rebalance the crude oil market to a halt. It is expected that the crude oil market will continue to improve in 2018, but there is little room for continued upward momentum. The annual international crude oil price may be 45-70 US dollars per barrel Run within the interval. The impact of crude oil on the chemical industry is not much said, as far as the current situation is concerned, crude oil will still be good in 2018! The price increase of furniture, paints and other chemical products has become inevitable.

 

The other is price monopoly. Recently, the Ministry of Commerce of China has been dealing with the dumping of chemical raw materials in their respective countries. In addition to this, the technical barriers of some domestic products are high, leading to fewer production companies, which is prone to excessive prices and downstream joint suspicions of joint price increases. In the plastics industry, many companies have been punished for joint price rises in PVC, while in the chemical industry, TDI's four major domestic production companies have been reported under real names to suspect price control. Not to mention the existence of price monopoly. For some products, there are too few production companies, and the initiative is turned to the seller. With the speculation of some middlemen and traders, prices are artificially high.

 

These are all established facts. In addition, unexpected accidents, new policies, force majeure, etc. will also cause the price of the chemical market and furniture raw materials to rise. Therefore, in the new year, take advantage of low prices and prepare well to avoid repeating "Ten" can not accept the mistakes of the order! I hope you will not have the embarrassing situation of taking orders and not shipping!

 

  friendly reminder

 

The above are all established facts. In addition, unexpected accidents, new policies, force majeure, etc. will also cause the chemical market and chemical raw material prices to rise.

 

The price of chemical raw materials will rise, and the price of the feed industry chain will probably rise. However, the pig farm is still in a downturn, and feed mills also have to worry about the farmers' acceptance of price increases, and feed mills are helpless!

 

The sharp rise in raw material prices has caused the increase in feed production costs, and the situation of feed price increases is inevitable. Here I also hope that the majority of breeding friends will make preparations for stocking as early as possible, and at the same time choose feeds from reputable and powerful brand manufacturers.