In January 2023, due to “strong expectations” and the maintenance and delay of a series of domestic devices, the spot end, although the demand is poor, but the market price is passively strong. After the Spring Festival, the spot end has not improved, and the domestic styrene market is weak and volatile. After the May Day holiday, the domestic styrene spot market weakened again after a stalemate, and fell below the “8″ thousand mark in mid-May, and continued to decline. East China styrene market since the beginning of the year 8400 yuan/ton, down to the current 7360 yuan/ton, a decline of 12.38%.

Since the beginning of 2023, the styrene and raw material end of pure benzene price spread showed a “first wide and then narrow” trend, the average price difference between styrene and pure benzene was 1349 yuan/ton, an increase of 17.20% over the same period last year, and the average profit of styrene non-integrated devices was about -28 yuan/ton, synchronous increase of 92.86% over the same period last year. Although the price of styrene and pure benzene in 2023 fell synchronously compared with the same period last year, but part of the year the styrene installation plan, external maintenance is more frequent, the market stage appeared “supply and demand tight balance” pattern, and in the raw material side of pure benzene is relatively “high profit” premise, the price difference between the two is on the upper level. Under the large production cycle of styrene, the contradiction between supply and demand continues to increase, and the profit of styrene non-integrated devices continues to repair, the raw material end can not give styrene strong cost support.

The contradiction between supply and demand is intensified: styrene is rapidly expanding, and demand is limited.

In the short term, styrene in the third quarter is still in the range of substantial increase in capacity and output, and the data shows that the new increment of the supply side device will be greater than the new increment of the demand side device. At present, the conventional news perspective, styrene and downstream in the second half of the year, although affected by changes in production and sales earnings, multiple sets of devices will be delayed, providing greater variables for the increase in styrene supply and demand, but with the new devices being put into production, the incremental supply of styrene in the third quarter is expected, and the market supply and demand in the high temperature season in July and August are weak. The market digested the early increase and sorted out the supply and demand structure after the new device entered the market, superimposed to avoid high temperature off-season, and the market fell. In August or began to pick up, “gold nine silver ten” manufacturing traditional peak season continues to provide the market with room for price increases, overall, the third quarter of the domestic styrene market or a “weak after strong trend”, styrene market is still based on the cost and supply and demand of the two main lines of impact.

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