In the first half of this year, the price of coal tar kept rising under the high international crude oil price. Even under the weakening of downstream market demand, the price of carbon black still kept rising abnormally, and even exceeded 10400 yuan/ton in early May. But in mid-June, after a series of co-ordinated oil prices, black carbon prices followed suit. As of July 15, the price of black carbon from many sites remained around 9,300 yuan per ton, about 10 percent lower than in early May.
In addition, the cost of synthetic rubber is also falling, driven by the decline in crude oil prices. On July 21, the latest price of A-90 neoprene rubber in the domestic market fell by 4.73% to 80,500 yuan/ton. Although other types of synthetic rubber prices are not too many changes, but if oil prices continue to fall below $90 a barrel mark, then extract the synthetic rubber big probability will also usher in prices, and combining the natural rubber, carbon black and steel prices, is expected in the third quarter of this year the tire corporate profits can out of the different curve with the same period of last year.
The demand curve is going up
But now it is too early to conclude that tire price reduction, after all, even in the first half of this year tire companies crazy price increase, but the terminal retail response rate is not high. Many tire enterprises factory prices have risen by 7%, but the implementation of the store price increase is only about 3%, and even some tire stores in the first half of the year did not rise at all.
Post time: Aug-04-2022