1. 2019-2023Analysis of the trend of styrene production capacity in China
Data**: Longzhong Information.
According to Longzhong information monitoring statistics, the compound growth rate of China's styrene production capacity from 2019 to 2023 is 2261%。In 2019, styrene anti-dumping was implemented, the profits of styrene factories increased, and new styrene investment plans surged, but due to the construction period, it was not fully put into production within this year. From 2020 to 2022, the projects planned in the early stage have been launched one after another, and the domestic styrene production capacity has ushered in an explosive period, and the integrated development strategy of the petrochemical industry during this period is also promoting the rapid growth of styrene production capacity. However, the downstream demand is slow to follow-up, and the styrene production capacity will gradually show excess in 2021-2022, and the industry's production profits will shrink, and even there will be long-term losses, resulting in the slowdown of individual new production capacity. Starting in 2023, the performance of new downstream production capacity is relatively concentrated, and the demand has been well improved, while the new styrene production capacity has also ushered in a new round of outbreak period, and the growth rate of production capacity will increase again during the year. 2. 2023Analysis of the trend of styrene production and capacity utilization in China
Data**: Longzhong Information.
In 2023, China's total annual output of styrene ethylene will be 1551360,000 tons, an increase of 14 over last year35%, capacity utilization rate at 7286%, down 426%。In terms of output changes, domestic styrene production in 2023 will show the highest incremental performance. Among them, in March, the output decreased due to the centralized maintenance of domestic equipment and the loss of production profits; In addition, due to the fact that the capacity of the new equipment was not fully released, the production capacity utilization rate during this period was low, and the daily capacity utilization rate fell to the lowest 61 in the year45%。From April to May, with the return of maintenance equipment and the release of new production capacity, output and capacity utilization rate increased significantly. During the period from June to July, due to the loss of production profits and the superposition of more sudden maintenance devices, the output and capacity utilization rate fell to a low value again. After July, the domestic equipment maintenance device returned, basically tended to stabilize production, and ushered in a new round of production capacity in September, and in the process of the gradual release of new production capacity, the output and capacity utilization rate increased steadily. After entering October, domestic styrene plants were overhauled frequently, most of which were large factories, resulting in a significant decline in output and start-up. 3. Correlation between styrene** and capacity utilization rate in 2023
Data**: Longzhong Information.
In 2023, the correlation coefficient between styrene** and capacity utilization rate will be 038, reflecting that there is no strong correlation between the overall trend of change between the two. As can be seen from the above figure, ** has a certain positive correlation with the overall capacity utilization rate, which does not conform to the normal correlation logic. From January to June, the domestic styrene ** showed ** performance after a period of narrow range**, and at the same time, the industry was under the pressure of profit loss, as well as the impact of new production capacity and sudden maintenance, and the industry started to decline continuously. After July, the raw material side showed a strong performance, with the support of costs, the superimposed downstream demand performed well, and the overall **tight**, styrene **began**. During this period, the production profit was slightly repaired, and the styrene factories that were losing money and overhauled resumed production, and the domestic styrene capacity utilization rate was followed. During the year, the market mostly took supply and demand expectations and cost logic as the main trading direction, resulting in a low correlation between styrene** and ** ends, so styrene** and capacity utilization did not come out of a reasonable performance.