self baking electrode paste

Pubdate: 08-16 2021

Investigation on the impact of environmental protection and production restriction on self baking electrode paste

self baking electrode paste

Background: Affected by the “Two Sessions”, from March 2 to March 31, Henan’s key industries implemented staggered production, some industries limited production by 40%-60%, and some industries were forced to stop production. In terms of self baking electrode paste, all companies in the region were forced to stop production. In other regions, production is limited by 20-50%. In some urban areas of Henan Province, production is limited to 50%. According to incomplete statistics, Henan and self baking electrode paste account for 10-20% of the output.

The industry has different opinions on this production restriction measure. Will the limited production boost the self baking electrode paste market in the later stage? Will the self baking electrode paste change? Research period: March 5, 2019 to March 6, 2019 Research object: self baking electrode paste manufacturer Research model: Telephone research Through interviews with some industry insiders, the author summarizes the following: a company: Henan is self baking The main producing area of electrode paste is also the main processing base of self baking electrode paste in China. This production restriction will result in a decline in the processing output of self baking electrode paste. Due to the lag of the market, it is expected that the rise and fall of self baking electrode paste will appear in April.

In addition, the operating rate of electric furnace steel will gradually increase in the later period, and it is expected that the self baking electrode paste will increase to a certain extent at the end of March. Company B: The market supply and demand of self baking electrode paste is seriously imbalanced, the market supply has increased sharply, and the price has been falling all the way, which belongs to the market macro-control. According to the different proportions of the raw materials of self baking electrode paste in each company, the cost and price of self baking electrode paste are different. Some companies touch the cost line, and some companies have not broken the cost. Although Henan and self baking electrode paste companies have ceased production, they are still far from achieving the goal of balancing market supply and demand. The price of self baking electrode paste will continue to be affected by market competition and continue to explore.

Enterprise C: It is normal to limit production during the heating season. With the normalization of environmental protection work, some companies in Henan, Henan and other places have been in a state of suspension for a long time. At present, domestic steel mills mainly use ultra-high power self baking electrode paste. Therefore, the current production restriction will not have much impact on the self baking electrode paste market.

In terms of raw materials, judging from the needle coke data from 2017 to 2018, the maximum price difference for coal-based needle coke is 28,000 yuan/ton, and the maximum price difference for oil-based needle coke is 38,200 yuan/ton. At present, in March 2019, the domestic price of needle coke is RMB/ton, and the delivery by manufacturers is common. Self baking electrode paste companies are enthusiastic about purchasing. Needle coke inventory increases and needle coke may face further downward adjustments. From the perspective of the domestic steel market, although some domestic steel mills have restricted production to varying degrees due to the impact of the “two sessions”, the consumption of self baking electrode paste in the smelting process of steel mills is relatively low, and the leading manufacturers of self baking electrode paste are still In electric furnace steel enterprises, and the resumption of the production of electric furnace steel is still the focus of attention of enterprises, the trend of the domestic steel market cannot be ignored.

According to the analysis of carbon analysts, from the macro data in February, it is expected that the currency liquidity will remain tight in March, the scale of social financing is hard to say, and investment funds are difficult to get in place. According to the current weather conditions, it is expected that the demand in March this year will not be as impulsive as in April last year, but will gradually be released slowly. At present, steel inventory has entered the destocking stage. With the completion of maintenance work in April, the supply will increase. If the inventory destocking speed is not as expected, the market will return to later supply concerns, and market risks will be released quickly. Therefore, the steel market as a whole is still not optimistic. Will the performance of the steel market have a certain impact on the resumption of production of some electric furnace steel companies, thereby affecting the improvement of the demand for self baking electrode paste?


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