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The price of soda ash has fallen and can not be reduced

wallpapers News 2020-08-30

The largest consumption area of soda ash is flat glass, which accounts for about half of its total consumption.

Therefore, the trend of glass price soda ash is very close, both rise fall at the same time.

At present, soda ash accounts for about 18% of glass production cost.

For several consecutive years, the domestic soda ash industry has been in a state of loss (the loss in 2012 alone was as high as 2 billion yuan), the price of soda ash has fallen.

After more than two years of decline, the operating rate of soda ash enterprises has been declining.

In the first five months of this year, China produced 10.

136 million tons of soda ash, a decrease of 0.

6% over the same period last year.

In May, the output of soda ash in China was 1.

929 million tons, a year-on-year decrease of 7.

8%, which created conditions for the de stocking of soda ash industry.

In the near future, the inventory of soda ash industry has been reduced to a reasonable level.

In Shong Province, for example, the normal stock is 30000 tons, now only 25000 tons.

Therefore, the total industry inventory of soda ash decreased by 16% compared with the normal inventory.

This reduced the supply of soda ash, the trend of market price showed good signs.

In addition, the domestic natural gas price increases, affected by the cost support, it is imperative for soda ash enterprises to increase the ex factory price.

In fact, the domestic light soda ash has rebounded from the lowest price of 1260 yuan / ton in mid April to 1330 yuan / ton at present, which has been rising for three consecutive months, with an increase of 5.6%. The heavy soda ash market has also begun to improve, the quotations from various places have risen steadily.

This situation is more prominent in the southern central markets.

In short, the cost factor will raise the bottom 50-100 yuan / ton of glass futures price, thus limiting the falling space of glass futures price.

Coupled with the expectation of urbanization, it is difficult for the glass futures price to fall below the 1300 yuan / ton mark in the second half of the year.

Once the market breaks through the bottom of the market, it is a panic.


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TRUNNANO (aka. Luoyang Tongrun Nano Technology Co. Ltd.) is a trusted global chemical material supplier & manufacturer with over 12 years' experience in providing super high-quality chemicals and Nanomaterials. The nitride powder produced by our company has high purity, fine particle size and impurity content. Please contact us if necessary.
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