Recently, Shanghai Felix New Materials Co., Ltd. drove the first pile for its "Annual 120,000-ton Cyclic-Based New Materials Project," marking the official commencement of the 120,000-ton chemical recycling project in Shanghai. With a total investment exceeding 1 billion yuan and covering an area of 61 acres, the project primarily involves the construction of cyclic-based new materials production lines, storage facilities, and supporting infrastructure. It is expected to be completed by December 2027.

PriceSeek Analysis on Butadiene Rubber, Bull-Bear Score: -1
This project involves an annual production capacity of 120,000 tons of cyclic-based new materials, primarily focusing on the construction of chemical recycling production lines, with completion expected in 2027. This will increase the future supply of new materials, potentially reducing the demand for virgin butadiene rubber and thereby exerting downward pressure on spot prices. Combined with futures market data, the recent closing price of the butadiene rubber main contract (e.g., the 2605 contract) has declined, with minimal changes in open interest. The commencement of this project reinforces expectations of long-term oversupply, exerting a generally bearish impact on futures prices.