Soda ash is a contract with soda ash as the underlying and can be traded on an exchange. Soda ash is an important chemical raw material, which is widely used in glass, detergents, fertilizers and other fields. Due to the volatility of the soda ash market, soda ash has become a highly speculative financial derivative.
Soda ash** is traded in 25 tons per lot, the delivery month is January-December, and the trading hours are 9:00-11:30 a.m., 13:30-15:00 p.m., and 21:00-23:00 in the night session. Soda ash** fluctuates greatly, so investors need to pay attention to risk control.
The fundamentals of soda ash mainly include the following aspects:
1.On the supply side, China's soda ash production capacity ranks among the top in the world, but in the past two years, there have been more domestic soda ash plant maintenance, the operating rate has declined significantly, and the soda ash output has declined. At the same time, due to the high cost, high energy consumption and other problems of domestic soda ash enterprises, the profits of soda ash enterprises are generally not high.
2.Demand side: With the recovery of the real estate market and the growth of the glass industry, the demand for soda ash has gradually increased. At the same time, detergents, fertilizers and other industries also have a large demand for soda ash. However, due to the high level of soda ash**, some small glass companies have started to use alternatives such as calcium carbonate, and the demand for soda ash has decreased.
3.Inventory: Recently, the domestic soda ash inventory has continued to decline, mainly because the summer maintenance season is coming to an end, the production of soda ash enterprises is gradually recovering, and the demand for soda ash from downstream users is also gradually increasing. However, because the operating rate of soda ash enterprises is still not high, the market expects that the first amount of soda ash in the later period will still not be very large.
4.In terms of import and export: China's soda ash exports are greater than imports, mainly exported to Southeast Asia, South Asia and other regions. However, due to the small demand for soda ash in the international market, China's soda ash export volume is limited to a certain extent.
In general, the fundamentals of soda ash are complex and changeable, and the market is highly volatile. Investors need to pay close attention to market dynamics and fundamental changes, and make good risk control and investment decisions.