From the cost side, coal is the main raw material for the production of methanol in Northwest china. At present, coal prices have stabilized, and the development and Reform Commission issued from November 20th onwards will improve the notice of non residents with gas price of 10% – 20%, it must have the support of the northwest region methanol prices.

Next month forecast to Hong Kong is still not much

Is the main consumer of methanol olefin, pre Ningbo flight due to equipment problems short load down to 60%, has been restored, Xing Xing energy load to 80%, Nanjing is expected to maintain normal operation of Wison, these sets of olefin plant December will resume normal operation. According to the law in previous years, into December, the traditional downstream will enter the off-season demand, will gradually reduce the operating load. The Spring Festival this year earlier than in previous years, do not rule out the formaldehyde factory work may advance the Chinese New Year; Nanjing BP50 million tons of acetic acid plant in November 21st to stop, restart the program in early December. At present, the traditional December compared to November has been shrinking downstream demand.

In December, methanol to Hong Kong is still not enough, according to the schedule, there are about 700 thousand tons. In addition, the recent port circulation of goods continued to decline, the latest port circulation supply has plunged to 158 thousand and 300 tons, the port is to inventory status. According to statistics, at present, the coastal areas (Jiangsu, Zhejiang and Southern China) methanol inventory has dropped to 669 thousand and 600 tons from 1 million 151 thousand and 600 tons, almost halved in the low level of history, it will also support methanol prices.

Overall, in port stocks at low, estimated in December to Hong Kong is still not much and northwest shipping pressure weakened in the background, is expected to fall sharply in December the possibility of methanol is not recommended cautiously bearish.