The future development of plastic products manufacturers is centered on "quality" and "new"

In the first half of 2016, General Plastics basically experienced the trend of rising first and then falling. The overall fluctuations were mainly PP (11.92%), ABS (13.92%) and PVC (8.99%). Large, LLDPE (-0.47%), LDPE (-0.92%) slightly declined. On the one hand, product growth relies on a trend-based rebound. On the other hand, in 2015, commodity prices generally declined, and plastic products prices fell to relatively low levels, and the market has a rational return to demand.

From the demand side, the market's rise in the first quarter is also traceable. According to the data released by the Ministry of Industry and Information Technology, the output of China's plastic products in January-May 2016 was 29.468 million tons, a year-on-year increase of 6.8%. The increase in volume is the important price increase. Support basis, especially the market demand after the Spring Festival repression has been released, the factory increased procurement efforts, active stocking, greatly eased the contradiction between supply and demand, it is worth noting that the real estate industry's positive, operating rate rise, also led to related Short-term recovery in downstream areas such as film, pipe, profile and insulation materials. From the supply side, according to statistics, China's primary form of plastics production in January-May 2016 was 32.852 million tons, up 10.3% year-on-year. Domestic plastics production increased significantly. At the same time, market inventories have been at a relatively reasonable level, but this cannot be explained. The absolute demand for downstream demand has improved, because the import data is still very unsatisfactory. According to statistics, from January to May 2016, China imported 10.29 million tons of primary-shaped plastics, down 7.05% compared with the same period of last year. Both ends of supply: domestic production The increase has balanced the decline in imports, so there is no substantial change in downstream demand. This has led to a rational correction in the market in mid-to-late April. Basically, General Plastics has lost more than 50%, especially LDPE and LLDPE have returned to the price level at the beginning of the year.

Market outlook

In the first half of the year, the general plastics equipment was inspected and repaired, the domestic output growth was controllable, and the import volume dropped sharply. Therefore, the consumption growth slowed down. In the second half of the year, the equipment maintenance task was not heavy, especially the PP and PVC production capacity faced with excess products. With the corresponding increase in the operating rate, the supply expectation has increased significantly. The demand is still relying on the general demand. As the company has formed a rational procurement model, the peak season of “Golden September and Silver 10” demand is also difficult to expand. It is expected that the market will be mild in the third quarter. The narrow range is mainly up. The market may fall in the fourth quarter, which may fall by 5-10% compared with the current overall price level.

On the whole, it is unlikely that the market will see a sharp rise and fall in the second half of 2016. On the one hand, the favorable policies at the beginning of the year have overdrawn the demand for market rise, and the weak market has also been confirmed. In addition, the output from plastic products In view of this, although it is growing, exports are not optimistic, especially in the first two months of 2016, a year-on-year decline of 4.7%. Therefore, the current growth in demand for plastics generally depends on domestic demand, especially in the second half of the year, there are still many uncertainties, the downturn in real estate operating rates and the EU shock caused by Brexit may all pressure the plastics industry in the later period. In terms of cost, upstream crude oil is not expected to rise sharply. It is expected that the plastics market will not pick up in the second half of 2016. The market will maintain a stable and rebound trend in the third quarter, but the increase is limited. In the fourth quarter, especially in the second half of the year, the market will enter the downward adjustment. The price of most products may be Go back to the beginning of the year.

Formula analysis will lead to a new pattern in the plastics industry

For some plastics manufacturers, the development of the plastics industry is a few happy ones. The good news is that the demand for plastic products is expanding. The development of new plastics has created a huge prospect for the development of the plastics industry. What is happening is that some chemical manufacturers have poured in, hoping to get a slice of the plastic cake. The competition in the plastics industry is more intense.

How to break through this market dilemma? In order to maintain and increase their market share in the plastics industry, plastics manufacturers must improve the quality of plastic products and reduce production costs. Some plastics manufacturers hope to break through the improvement of plastic formulations and the development of new formulations. However, some of the small and medium-sized production enterprises do not have a strong and complete R&D team. In addition, the technical strength is weak, and formula research and development still faces many obstacles. At this time, the development of analytical formulas by means of third-party testing organizations has become an indispensable part of plastic production.

Plastic wallpapers and other building plastic products are popular all over the world

Plastic wallpaper has developed rapidly in China, and has entered a relatively stable stage. The output growth rate is not large. The changes are mainly reflected in the variety and function of the color, such as foam wallpaper, flame retardant wallpaper, anti-static wallpaper, moisture-proof wallpaper and so on. In 2000, the market demand for plastic wallpapers was around 300 million square meters, and in 2010 it was about 400 million square meters.

China's plastic flooring was applied to the Great Hall of the People in 1959, when it was mainly coiled floor. The development and production of semi-rigid plastic flooring began in the 1960s, but the real-scale commercial production began in the mid-1980s. At that time, various parts and equipments for producing bulk materials and coils were introduced from Japan, Germany, etc. throughout the country, and the product types were relatively complete. After the 1990s, functional flooring such as high wear resistance, foaming, antistatic and flexible, semi-rigid flooring have been produced and used in large quantities. In 2000, the market demand for plastic flooring in China was around 100 million m2, and in 2010 it was about 200 million m2.

Plastic waterproofing membranes have also developed rapidly, and the products developed by China have also achieved remarkable results. At present, the annual production capacity of waterproof coiled materials reaches 40 million m2, and the use of new waterproof materials such as coils has reached 60% of urban permanent building waterproof materials.