The price of raw materials has changed! There were new changes in the silicon metal market yesterday. The price of 421 # silicon metal fell by about 100~250 yuan/ton. The current price of Huangpu Port is 21400~21700 yuan/ton, while the price of methyl chloride continues to rise, up 1150 yuan from last Tuesday, and rose to 3700 yuan/ton yesterday. For the current single factory, the cost will rise more or fall less, and the weak rebound will also aggravate the loss. Next, the operating rate and price estimate will be readjusted. However, at the moment when there is no substantial change in the demand side, the fluctuation of the cost side has a limited impact on the silicone market. At present, DMC has offered a stable price of 17200~18000 yuan/ton. It is expected that the low price will keep stable operation this week, and there may still be a phenomenon of surrendering profits secretly if it reports too much to the manufacturer.


In terms of operating rate: the single units that had been shut down for a long time before gradually resumed restart, and Zhangjiagang also resumed normal operation. At present, two or three units have been shut down for maintenance, and the restart time is uncertain. This week, the operating rate has gradually increased to about 68%. Due to the centralized production reduction that lasted nearly a month, there is still no feedback on the demand side. Now the supply pressure is rising again, and the single plants can only continue to struggle between cost and warehousing.


From the demand side, the middle and downstream enterprises are currently flat purchasing and active shipping. How about orders! It's a long story. It's either a loss or an equal income! The weakness of terminal demand has been deeply rooted in the hearts of the people, and everyone has long talked about the cost factor. All operations are based on actual needs. From this week's point of view, the purchase is mainly just needed, and the delivery and investment are difficult to achieve.


On the whole, it is difficult for the demand side to reverse the weak situation in the short term. Under the continuous high inventory and cost, how to alleviate the imbalance between supply and demand and get out of the dilemma may have to go through a long-term multi player game. At the end of the price war, it is often a competition between experts, and small and medium-sized enterprises and traders are passive participants.


For the future, the upstream is actively planning for the integration of the industrial chain, and how should the midstream and downstream decide whether to be large-scale or refined, whether to become a pioneer or follower in the face of silicon materials that can be widely used and many areas to be developed?