In June, the trend of domestic liquid ammonia market was full of twists and turns. According to the monitoring of the business agency, since June, for example, the liquid ammonia in Shandong Province has rebounded from the drop and then stabilized. Due to the overhaul of a large plant in Shandong Province at the beginning of the month, a large number of liquid ammonia were shipped in some areas. The manufacturers reduced the price sharply, from 3000 yuan / ton at the beginning of the month to 2500 yuan / ton in the first ten days of the month. At the same time, the low-cost source of goods had a crowding out effect on the surrounding areas, implicating the surrounding areas to follow the price reduction, and the prices of the whole northern region dropped significantly. However, with the resumption of production in mid June, the manufacturers consumed a large amount of liquid ammonia, which reduced the pressure on the manufacturers’ inventory and market supply. Therefore, after the middle of June, the price of liquid ammonia rebounded rapidly. At the end of the month, the price of liquid ammonia in Northern China was generally 2700-2900 yuan / ton.
In this month, the upstream coal market is not good enough to boost the downstream market. The anthracite lump coal market continues to decline in a weak way. Especially in the middle and late ten days, the output of coal mines in the main production areas increased significantly compared with the previous period, and the price of coal mines in Shanxi Province dropped to 800 yuan / ton at the end of the month, down 30-40 yuan / ton.
In terms of downstream, in June, the downstream demand of liquid ammonia was still poor, urea also experienced the first rise and then fall. In the middle and late ten days, the market had fallen back to all the previous gains. In addition, monoammonium phosphate was also weak, with a limited increase (0.50%), which is currently in the off-season of fertilizer. Specifically, in the aspect of compound fertilizer, the operating rate of compound fertilizer enterprises is generally at 40% this month, and it shows a trend of gradual decline from the middle of the month to the end of the month, and the enterprise operating rate drops to less than 40% at the end of the month. In terms of urea inventory, the enterprise’s inventory increased for two consecutive weeks in the middle and last ten days, and the inventory exceeded 400000 tons in one week at the end of the month. At the end of the month, the inventory of compound fertilizer exceeded 500000 tons, increasing for three consecutive weeks. The pressure of inventory gradually increased, and the market demand became weaker.
In the future, the business community believes that the supply pressure is on the rise, and the operating rate of enterprises is high. Although the favorable agricultural demand in some areas such as northeast China is still continuing, it may continue to weaken in the later stage, and the industrial demand is weak for a long time. It is expected that the liquid ammonia market will remain weak in July, and the price will not be ruled out to fall again.
| Thiourea |