September glass twists and turns in flat glass

In September, under the overall profitability of soda ash enterprises, the starting load remained high, and the market supply was also increasing. The next parade continued to languish, and the end-customer wait-and-see attitude was strong, which made it difficult to improve the overall demand. As a result, the pressure on production and sales of soda ash enterprises will not decrease, and the contradiction between supply and demand will be further expanded.

The performance of the flat glass of the main downstream products closely related to soda ash is not outstanding. Although it has gradually entered the peak season of the recovery of the construction industry, the procurement of the market has not been outstanding. It is understood that the overall glass market is stable in the near future, and the price of glass for individual specifications and enterprises in some regions and enterprises has risen and fallen.

For example, Yingxin Glass raised the small plate by 3.5mm and the 5mm by 0.1-0.2 yuan on the 8th, and the price of the large plate of 5mm, 6mm, 8mm, 10mm and 12mm was increased by 0.1-0.6 yuan. At the same time, Dejin lowered the price of some specifications of small plates by 0.2-0.3 yuan. From the end of August to the beginning of September, Hebei Yuanhua, Daguangming, Changhong and Haisheng reduced the offer by about 0.1-0.3 yuan.

After the previous holiday, the inventory of some regional enterprises and merchants increased, and the shipping pressure increased, especially in North China. The glass market in East China, South China and Central China is stable, and the transaction is still sluggish, waiting for new consumer opportunities.

Glass production is a “large resource consumer”. Each ton of glass produced consumes about 1.1 tons of various raw materials, including about 800 kilograms of quartz sand, about 130 kilograms of caustic soda and the same amount of limestone, plus about 140 liters of heavy oil or Equal to other energy sources.

Although since 2009, flat glass has been listed by the State Council as one of the six industries with overcapacity, becoming the key target for eliminating backward production capacity. At the same time, flat glass is listed as a major industry for air pollution due to its high energy consumption and high pollution. However, the new production capacity has been continuously expanded, and the speed of phase-out has been very slow.

According to data released by the National Bureau of Statistics, China's flat glass production in 2013 was 779 million weight boxes, up 11.21% year-on-year; flat glass growth slowed in 2014, but overall production still increased to 793 million weight boxes, The increase was 1.09%. Data show that from January to July 2015, the cumulative output of flat glass was 456 million weight boxes, down 7.4% year-on-year.

The de-capaciting process in the flat glass industry still takes a long time to gradually realize. It is understood that the real estate market closely related to the flat glass industry has seen a significant decline in 2015. The new construction area has dropped by more than 10%, even reaching 15%, while the overall output reduction of flat glass is only 4%-6%. . I am afraid that the situation of oversupply will not be eliminated in the industry for a short time.

Since entering September, people in the industry have also had some new hopes for the traditional sales season, especially the recovery and activity of the construction industry from south to north or the glass market has a certain upward trend. According to relevant information, there are currently 32 production lines in the country that have been cold-repaired, and the number of cold repair and new production lines has totaled 20, with a net reduction of 5030 tons/day. As demand enters the peak season, the slowdown in regional supply pressure will make the market's upward momentum more centralized. At the same time, glass futures will also be driven by the peak season. It is expected that the glass product market will have an upward performance in the next two months, and will also drive the soda ash market to a certain extent, but the rate of increase and the expected rate of increase will not be too high. prominent.

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