Excessive Increase In Textile Printing And Dyeing Dyes, Rising Profit Dye

Historical review of the last round of the boom cycle: at the end of 2012, Zhejiang Longsheng filed a settlement under the jurisdiction of the company, and the oligopoly of the dye industry changed from oligopoly to oligopoly.

In the mid 2013, the impact of environmental protection on the industry appeared. Some manufacturers in Jiangsu stopped production, and the net interest rate reached 25%.

Since then, a number of intermediates have jointly worked, and in early 2015, the price of disperse dyes was as high as 60 thousand yuan.

Disperse dyes start at a price of 17 thousand yuan and start a new wave of price increases: in March 6, 2016, Longsheng, Ru Tu, Ji Hua (45-50 tons of disperse dyes, three of which accounted for more than 70%) and other big factories announced that due to industrial losses, the price of disperse dyes black was increased from 2000 yuan to 19000 yuan / ton. In March 12th, it was announced again that the price increase was 2000 yuan to 21000 yuan / ton, and the industry changed from loss to profit.

The three magic weapon, patents, intermediates and environmental protection, patent constraints, at least until 2019, environmental protection in the last round of the business cycle has improved to a certain extent.

Intermediates show many varieties, high technical difficulty, high concentration, and rely on downstream customers. This is the biggest variable in the future, or the pattern of small dye factories can only get high price intermediates or can not get intermediates.

This will push up the cost of small enterprises and curb their output, and the industry structure is still dominated by oligarchs.

Considering the variables in the future, we believe that the price of disperse dyes will open up a new wave of price increase. It is estimated that the price of 30 thousand yuan / ton will be greatly exceeded, and that is 40 thousand yuan / ton.

The pattern of reactive dyes changed, and the first price increase occurred. At the end of February 2016, Chu Yuan stood on the wave of environmental protection again. The company had 70 thousand tons of reactive dye production capacity and 30 thousand tons of H acid production capacity. The industry accounted for nearly 20% and 30% of the industry, and the company's shutdown and resumption of production would have a significant impact on the industry.

At present, the price of reactive dyes has increased by 2000 yuan / ton, and the price is 2.1-2.5 yuan / ton. The manufacturer of acid has quoted 30 thousand yuan / ton before, and the price has been raised.

The printing and dyeing pattern has been fully improved since 2014, and the excess price rises benefited from rising dyes. After 2014, almost every dye price increase was accompanied by an excessive increase in dye charges, and the profitability of printing and dyeing enterprises continued to rise. The tight balance pattern of industry was broken under the influence of "zero point" and "bright sword" 5-8% production, and the dyeing fees continued to rise. We believe that we still can get excess profits in the future.