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07/22/2020
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How Much Is Paraffin Wax ?

The impact of paraffin production and product structure and domestic demand on prices

Paraffin products are divided into many grades according to their melting points and different needs. Taking Fushun Petrochemical as an example, when there are hundreds of brands at most, when a refinery sets sales prices for paraffin products, it sets a price for a benchmark product based on the market price trend and market supply and demand status-its benchmark product is 58# Semi-refined (full-refined), and then the prices of other brands of paraffin products are adjusted or priced according to the price of the benchmark product, such as 58# semi-refined paraffin, which is commonly regarded as the benchmark product by everyone in the paraffin manufacturer.

When communicating the prices of various refineries, they often just exchange the price information of 58# semi-refined wax. The price of other paraffin products can be calculated based on the price of 58# semi-refined wax, which is convenient to operate.

The price of paraffin products is greatly affected by seasonality, and there are certain changes in regularity. For example, during the winter from the end of December to March of the following year, most of the downstream enterprises go out of business. Although it is the Spring Festival in China, the amount of temples increases, and the Christmas market in the international market, the demand rises, but these enterprises must prepare the supply in advance. Market demand has entered a low season, and product sales accounted for only 20% of the overall market sales throughout the year.

Due to the continuity of production, the refinery inventory gradually increased. In the northwest region, due to transportation difficulties, leaving the factory is even more unsatisfactory. In order to clear the way for the product and lower the sales price, this stage will drive the price of the entire paraffin market down. For low-melting paraffin, after May, due to the gradual increase in weather temperature, it has a greater impact on the storage and transportation of paraffin, and sales are still in the off-season. Inventories continue to rise, market prices continue to decline, and the entire market responds. One piece, the atmosphere of watching is stronger. At this time, the refinery should adjust the product structure as early as possible to reduce the risk.

To sum up, the price of domestic paraffin wax is greatly affected by the demand of the international market, which increases as the demand of the international market increases. At the same time, the influence of the season is also more obvious. Generally, the price of paraffin wax rises relatively from August to November due to the higher operating rate of downstream companies, while the price of paraffin wax from December to May is relatively low due to the weakening demand from downstream companies. .

In addition, the adjustment speed and range of international crude oil prices will also accelerate the speed and range of upward adjustment of paraffin prices. Although the price of paraffin and the price of crude oil fluctuate, the analysis of the process and market demand of paraffin products shows that the production of paraffin products in China is at the primary product stage. As the market demand structure and demand space change, the production Shangduo improves the quality of products and creates higher profits for enterprises.

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Last modified: 2020-07-22 17:04:19
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    Beijing Dongke United Technologies Co

       Dongke, established in 2005, is a national high-tech enterprise, Specializing in the research and development, producing and sales of new materials, new energy, medicine and health.

    [Paraffin] - www.dkwax.com/ - UTF-8 - 2020-07-04

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