The first half of the year is coming to an end, to say the most frequently mentioned words, have low operating rate, environmental protection, wholesale price and so on, which is to say this is contrary to expectation environmental inspection, Shandong Henan Hebei, Shanxi Liaoning, Chongqing, Inner Mongolia, Jiangsu and Anhui, is the Jilin Heilongjiang, covering almost all provinces.
Today we are mainly talking about the environmental protection "looking back", which brings good and bad to the urea industry
Good 1: is almost determined the high cost of old, some manufacturers of urea equipment in a set or two sets of equipment have been unable to start, or to start again, one is do not meet environmental requirements, on the other hand, is based on coal prices temporarily difficult to have a big fall, this part of the loss of equipment and start is no longer meaningful. Good 2: three amine, ammonia and other chemical products has undergone several rounds, it is many times more than the environmental inspection of urea product (urea industry strength check did not encounter environmental protection since last December, the start of these chemical products) by environmental impact has been small, coupled with the industry's profits compared to urea still a lot of big, so is the limited operating rate of urea. Good 3: environmental protection strength, promote the progress of the urea vehicle will be slightly faster, Henan, Chongqing and other major manufacturers are producing capacity of about 20%-30% in the car with urea in the urea, although total capacity is not accounted for, but in the 8-9 month urea flat period, always Something is better than nothing. drops.
In short, the recent environmental protection "look back" has represented the government for an attitude of environmental monitoring, a two times three times and check whether there is not meet the environmental requirements of the equipment does not meet the requirements of the enterprise or business equipment, operating rate is not high urea, just over 60% than in the past two, Inner Mongolia Dachang unexpected equipment failure, stop for a week, the other manufacturers to mid July in order to resume production, China net car last time I insist on fertilizer in an article in the small - urea prices continue to fall after the stalemate type, 7 months late, with the decrease in operating rate rise in addition to domestic demand, urea price decline will increase.
Here to talk about bad, one is the compound fertilizer industry downstream of underemployment, of course, a small factory first, then the old equipment manufacturers, in the procurement of raw materials for urea compound fertilizer industry flat period, is also a kind of bad. The second is the requirement of power plant desulfurization stock was inhibited, the small power plant can hardly started in large power plant desulfurization stock for urea demand is stable, but in the next urea flat period, these large plants are more likely to choose to purchase cheap urea and urea, the price close to the cost line of procurement, may exacerbate the urea the needs of the intermittent period of price competition. Third, the coal industry continues to suffer severe environmental inspection, coal prices will not fall, high urea costs, while the latter half of the off-season demand, the price is worse still more likely. The fourth is the urea industry uncertainty factors more operations need to be cautious to the production process will accelerate, but the new low cost and meet the environmental requirements of the new production capacity of urea in coming to us, such as new equipment of two large factories in Shandong, Jiangsu, a manufacturer of new equipment, new equipment, Henan two a large amount, a rough estimate of the total production capacity of about 1 million tons, the old to new, quietly approaching, variable factors of urea industry too much, let the majority of urea manufacturers tangled in operation.
According to the latest news, the weekend has ammonia prices fall, with the ammonia ammonium compound, the downstream demand for liquid ammonia coming to an end, low price to a certain extent, the number of production of urea will increase, coupled with environmental inspection will be prompted to weed out some urea industry standards of the enterprise, the urea operating rate rise is inevitable. That is in accordance with the standards of the enterprise will be normally started to sell to make a profit, although the price may be low, but not started it, no more profit.