What is the market situation of cellulose ether raw materials?

The main raw materials of cellulose ether are agricultural and forestry products such as refined cotton and wood pulp, and chemical products such as propylene oxide, methyl chloride and caustic soda. The raw material of refined cotton is cotton linters. my country is rich in cotton, especially in Shandong, Xinjiang, Hebei, Jiangsu and other major cotton producing areas. Cotton linter resources are very rich and the supply is sufficient; chemical products such as propylene oxide and methyl chloride belong to the petrochemical industry. Commonly used chemical products, the production enterprises are all over Shandong, Henan, Zhejiang and other places, and the supply is also very sufficient.

Cotton is a crop and a bulk agricultural product. Due to the influence of natural conditions and international supply and demand, the price is prone to fluctuations. The prices of chemical products such as propylene oxide and methyl chloride are also subject to fluctuations due to the influence of international crude oil prices. Since raw materials account for a large proportion in the cost structure of cellulose ether, fluctuations in the price of raw materials will have a direct impact on the sales price of cellulose ether.

Fluctuations in raw material prices have the following impacts on the development of the cellulose ether industry: (1) Cellulose ether manufacturers usually transfer cost pressures to downstream industries, but factors such as product technology content, product variety, and product added value all affect their production. pass on the effect. Generally speaking, enterprises with high-tech products, rich product portfolios, and high value-added products have strong transfer capabilities, and companies will maintain a relatively stable gross profit level; companies with low-tech products, single product portfolios, and low product value-added products have weak transfer capabilities, the cost pressure of enterprises is relatively high. (2) In an environment where product prices fluctuate greatly, enterprises in the upstream raw material industry are more willing to choose downstream customers with large production scale and strong overall competitiveness to ensure timely and full realization of their economic benefits, which objectively limits the production scale The development of small cellulose ether enterprises with weak overall competitiveness.