Petrochemical industry downstream demand weakened, the economy fell slightly

As the northern Hemisphere enters winter in November, temperatures are generally cooler, economic activity weakens and demand falls. The petrochemical industry represents the demand side of the fuel processing industry and rubber, plastics and other polymer products manufacturing industry boom index growth rate fell significantly. Chemical raw materials and chemical products manufacturing industry due to the impact of oversupply, the boom index is lagging behind, the inertial quarter-on-quarter growth rate maintained positive growth, but the growth rate fell rapidly.

International crude oil prices have gradually declined since late October, and the cost side support of the petrochemical industry has gradually weakened. In November, under the condition of weak supply and demand, cost profit margin has fallen, and the production heat of the industry has declined. However, from the point of view of year-on-year growth, inventory turnover has not changed much from October, and the demand is in line with the seasonal law, after excluding seasonal factors, the demand is slightly better than the same period of last year.

Overall, the petrochemical industry market confidence is weak, enterprises remain cautious about the off-season inventory turnover decline, and the negative willingness to adjust production is strong.