Styrene Market Morning Brief

I. Key Focus Points

1. October 28: Market concerns regarding the potential escalation of US-Iran conflict risks, coupled with continued Houthi attacks on Saudi energy facilities, drove international crude oil prices higher. NYMEX WTI December futures closed at $102.78/barrel, up $2.88 (+2.88%); ICE Brent December futures closed at $115.32/barrel, up $1.44 (+1.26%). China INE crude oil December 2026 contract fell by 9.2 to 722.4 yuan/barrel in the day session but rose by 15.1 to 737.5 yuan/barrel in the night session.
2. October 28: With international crude oil rising, domestic RMB-denominated prices opened lower but rebounded, providing slight support to USD-denominated prices; the USD market closed higher for the day. FOB Korea settled at $1,477–$1,487/ton (average price +$2); CFR China settled at $1,417–$1,427/ton (average price +$2). Unit: USD/ton.
3. October 28: Theoretically compared to the previous trading day: Integrated enterprises saw a reduction in theoretical production-sales profit by 124 yuan/ton to 2,350 yuan/ton; non-integrated enterprises saw an increase in theoretical production-sales loss by 66 yuan/ton to -173 yuan/ton.

Core Logic: Crude oil consolidates at high levels; styrene futures fluctuate and consolidate at highs; inter-month spreads narrow.

II. Price Table

Notes:

1. Units: Brent crude: USD/barrel; CFR NE Asia ethylene: USD/ton; Pure benzene & Styrene: CNY/ton.
2. Pure benzene and styrene prices reflect the average closing price in mainstream markets.
3. All RMB prices in the table are spot exchange rates including tax.
4. Change rate refers to period-over-period change.

III. Market Outlook

Styrene: Crude oil is consolidating at high levels, while styrene futures fluctuate and consolidate at highs with narrowing inter-month spreads. Supply-demand remains in tight balance. Shell’s styrene unit has resumed operations, but partial maintenance shutdowns at Zhejiang Petrochemical mean there is no obvious sign of industry supply recovery in the short term. After Lianyungang Petrochemical restarts its units, supply may return to an upward trend. Recently, downstream demand has been generally weak, hindering downward price transmission and pressuring new orders, with no significant improvement in spot demand. Without further bullish catalysts, styrene prices may trend slightly lower amid fluctuations in the short term.

IV. Data Table

Notes:

1. Data in the table represents weekly styrene data; ↘ indicates decline, ↗ indicates rise.
2. Jiangsu port inventory for styrene is released before 15:00 on Monday of the current week.
3. East China port inventory for styrene is released before 17:00 on Monday of the current week.
4. Styrene operating rate is released before 18:00 on Thursday of the current week.
5. Sample enterprise inventory for styrene is released before 17:00 on Thursday of the current week.