After saying goodbye to the three-day holiday, the organosilicon market ushered in a hard war. First, the DMC prices of individual monomer factories in Shandong were reduced continuously, directly reaching the 20000 mark. In the afternoon, the leading monomer factories reduced their prices, DMC and 107 silicone rubber were reduced by 1500 yuan, the net water price was 20500 yuan / ton, the barrel price per ton was 20800 yuan / ton, the raw rubber was reduced by 2000 yuan, and the quotation was 21000 yuan / ton. The decline was large, and the quotations of other monomer factories were followed up. Falling to this price is basically a showdown at the top of the cost line, and some middle and lower reaches enterprises can't help but stock up and copy the bottom. According to our understanding yesterday, all manufacturers receive orders well, and there may be signs of stabilization in the short term.


Recently, the inventory of individual factories is high and the supply is very abundant. Some individual factories continue to expand their production capacity while reducing prices and removing inventory. However, the downstream demand has always failed to meet expectations, resulting in a continuous decline in prices. This week, the price of chemical grade metallic silicon 421# Huangpu port has been reduced to 18200~19300 yuan / ton. The cost side support is weak. After another wave of deep decline yesterday, the single factory received orders fairly well, and the inventory is expected to be released. In addition, the quotation of leading monomer factories did not overwhelm each other, but kept a relatively balanced quotation situation with Shandong monomer factories, and threeorfour monomer factories did not follow up the decline, so we will wait and see. In terms of devices, production has been reduced or shut down for maintenance, and the contradiction between supply and demand may be relieved in the near future. This week, the supply side is mainly de stocking, and the price is expected to remain stable.


From the demand side, at present, the DMC price has fallen to the 20000 mark, once again reaching the expected reserve price in the middle and lower reaches. Naturally, some enterprises whose inventory has bottomed out have not hesitated to buy goods. However, the previous batch of takers suffered heavy losses and hesitated slightly. However, in order to balance the cost, they still make up their positions appropriately. Therefore, yesterday's stock atmosphere was considerable.


In addition, Shanghai will further resume work and production, and export orders may begin to recover. In terms of photovoltaic, according to foreign media, the United States may announce on Monday that it will not impose any new tariffs on solar products imported from Vietnam, Cambodia, Thailand and Malaysia within two years, which will be a great benefit to the photovoltaic industry. It is an important positive for the export of domestic silicone raw materials or photovoltaic adhesives. In the short term, the demand side still needs to recover, and it is still worth looking forward to in the long term.


To sum up, after several rounds of deep profit sharing, some monomer devices have also reduced the load appropriately. After the festival, the pace of monomer plants' going to the warehouse has been accelerated, and the short-term inventory pressure may be relieved. It is necessary to be vigilant against the rebound operation of monomer plants. In the short term, the market demand has not recovered so quickly. The current inventory reduction is just the transfer of inventory. The continuous follow-up of orders still needs to be tested.