Aniline Profit in Q3, 2017 Has Hit a New High in Recent Years
Introduction: On September 18, 2017, with the increasing prices of aniline, the profit had reached above RMB 3,000/mt, hitting a new high. Last time when the profit reached nearly RMB 3,000 was in 2010.
On September 18, 2017, with the increasing prices of aniline, the profit had reached above RMB 3,000/mt. Currently, with the declines in East China, the profits of aniline declined to RMB 2,900/mt or so. Last time when the profit reached nearly RMB 3,000 was in 2010.
Based on the data in Q3, 2017, the profits of aniline had hit the high level in recent years, especially the September. Up to September 30, the average profit of aniline in East China was RMB 2,428.41/mt, which was RMB 876.14/mt higher or increased 56.44% from RMB 1,552.27/mt in August. Increasing aniline price was the major reason for the great increase of profits. In September, the 200kt/a unit in Shandong Jinling saw an accident, and the supply slumped. From early September to September 18, the aniline prices increased for 18 times from RMB 8,550/mt to RMB 10,550/mt. On September 14, Sinopec reduced the prices of benzene, and the aniline profit increased to RMB 3,000/mt, hitting a new high from 2010.
Compared with the profits in 2016, increasing export volume and declined capacity are the major reasons for the high profits. Currently, it is difficult for the unit in Jinling to restart this year. The 360kt/a unit in Yantai Wanhua is expected to run in H2, 2017. Hence, the profit will be high in Q4, 2017 and may shrink in 2018.
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