The world is changing so fast . During the past month, there are some siginificate things happened which influence the world so much, so does chemical industry.

 

 

1. Crude oil  : Now crude oil price is very high and nobody can image how it going. So oil downstream products cost are very high such as benzene, ethylene etc.

 

2. COVID : Now there are some city is lockdown again in China which influence the supply chain very much to increase some raw materials supplying uncertainty.

 

3. Production cost: Now the energy cost is very high including steam, electric ,water, worker salary and mangemeng cost are all higher than before, pigment production cost increased a lot than last year.

 

4. New capacity:  The new big pigment factory planned to start producing in the middle of March, 2022, but it doesn't start till today, and no confirmation news for their starting date.

 

5. Currency rate: Some finance experts forecast RMB will go stronger, during the past month, RMB rate even went to lower than 6.3 against US dollars. If the RMB rate is keeping strong, that will make the price going up.

 

Then let us talk about pigment and its raw materials.

 

1.DCB: The DCB manufactuer would like to increase the price in March, but it didn't success due to the big volume imported from India and one big DCB factory wouldn't like to involve in because they are stopping in March. So the DCB price is keeping before price in the market.

 

There are two good news for reducing DCB price pressure in April, first is the biggest DCB factory will start producing this week. Second is one new ONCB factory started producing on March 22,2022 which will change the supplying situation of ONCB, if the new ONCB enter the market which will make the DCB price going down, inf no new ONCB enter the market, DCB price will keep or a little down in April, because the cost of DCB is higher now.

 

2. AAA series products: Due to the high oil price, Both Acetic Acid and Aniline price are at high level, and February warehouse fire accident made the AAA series products stock less, it is difficult to low down the price, in fact, if the market is good, the AAA series products price should be going up , but now it is stable , it is kind for pigment price.

 

3. Naphthalene series products: Fortunately, now naphthalene price is keeping floating but not so much although coal price keeping high, but now sulphuric acid price is almost ceailing price , the naphthalene series products price will be kept or a little down depand on market.

 

4.2B, 4B Acid：because Korean factory stopped producing , the products price are at ceailing price level and will keep for the time being.

 

5. Yellow Phosphorous and Carbazole: Yellow phosphorous price is almost same as last September, but Red 122 and Violet 19 price are still higher than last September due to other cost increased. Carbazole price is keeping high due to some factories stopped , Violet 23 price will be going up if the pigment market turn better.

 

Finally, we have to say pigment price will be kept in April,  very small opportunity for  going down , because all the cost of pigment are still higher. The pigment price will decrease  once the new capacity entering the market or raw material price changing lower due to competition in the unactive market conditions.