Entering the 3rd quarter, the market price of paraffin wax increased slightly, and the whole market is with a peaceful emotion, not strong demand of buying.
1.According to the price trend, the market is rising steadily. Price increased within cautiously range of 100-300 yuan / ton.
2. Looking into the supply and demand situation, the overall market is sufficient in supply, the enthusiasm of making stock is weak, the major demand is from regular buying, and the contradiction between supply and demand is still obvious.
3. At refineries side, Jingmen and Lanzhou Petrochemical are both in maintenance, affecting output about 8 thousand tons. The impact on the current high inventory market environment is limited , but stimulated some local traders to stock up.
4. From the market, side, participants take a wait-and-see mood, low demand from end-users, coupled with high inventory pressure, has made the market more cautious.
5. From the point of view of export, affected by China-US trade issues, the tariff policy on paraffin wax is preliminarily clear, the imposition of tariffs is temporarily targeted at semi-refined paraffin wax only; so generally, the market anxiety and panic has little substantial impact on China's paraffin exports.
Entering the middle Oct, the paraffin market will operate prudently and steadily. Jingmen and Lanzhou refinery are expected to start operation in late October, and the market supply will increase. Refineries, based on the persistence of high inventory levels, or the policy of maintaining stability, purchasing cautions will keep increasing. But considering that October is still in the high season of domestic market, demand may be warmer. Overall, the positive support of the paraffin wax Market in October is limited, and refinery listing prices are expected to be stable, market transaction prices may be reduced.