Since November, the market for butadiene rubber has been weak and declining. According to the Commodity Market Analysis System of the Business Society, as of November 12th, the market price of butadiene rubber in East China was 12430 yuan/ton, a decrease of 3.31% compared to 12860 yuan/ton at the beginning of the month.

The price of raw material butadiene has slightly increased, and there is still support for the cost of cis-1,4-polybutadiene rubber. However, downstream tire factories have slightly decreased compared to the end of October, and demand for cis-1,4-polybutadiene rubber is weak. In addition, some maintenance equipment has been restarted in the early stage, resulting in a slight increase in the supply of cis-1,4-polybutadiene rubber. The factory price of cis-1,4-polybutadiene rubber has gradually decreased, and the cis-1,4-polybutadiene rubber market is weak and declining. As of November 12th, PetroChina Northeast Sales Company’s Daqing Shunding Northeast Warehouse has raised its price by 12100 yuan/ton. The domestic market quotation range for two barrels of oil butadiene rubber is around 12200 to 12600 yuan/ton, and the quotation for private enterprise butadiene rubber is between 11800 to 12100 yuan/ton.

Yangzi Petrochemical has resumed normal operation, and Jinzhou Petrochemical is gradually restarting. Recently, the overall construction of the domestic butadiene rubber industry has slightly improved.

Since November, the price of butadiene has slightly increased, and the cost of butadiene rubber still has support. According to the Commodity Market Analysis System of Business Society, as of November 12th, the price of butadiene was at 9546 yuan/ton, an increase of 0.32% from the 9516 yuan/ton at the beginning of the month.

Since November, the natural rubber market has fluctuated in a narrow range, with a slight impact on cis-1,4-polybutadiene rubber. According to the Commodity Market Analysis System of Business Society, as of November 12th, the price was at 12960 yuan/ton, an increase of 0.78% from the beginning of the month at 12860 yuan/ton, and the low point during the cycle was at 12840 yuan/ton.

Demand side: Since November, the construction of all steel tires has slightly declined, with cautious procurement of new orders and flat market transactions. The demand for rubber support is stable and weak. It is understood that as of early November 2023, the operating load of all steel tires for rubber tire enterprises in Shandong region is 6.3%; The operating load of semi steel tires for domestic rubber tire enterprises is 7.3%.

Future Market Forecast: Business Society analysts believe that high raw material prices will support the cost of butadiene rubber in the short term. Although downstream construction has slightly decreased, there is still a strong demand for rubber support. butadiene rubber construction has slightly increased, and natural rubber prices are at a stage high. It is expected that the spot market of butadiene rubber will narrow in the short term, and if the cost side drops significantly in the future, there will still be downward space for butadiene rubber.