According to the commodity analysis system of Business Society, the styrene market continued to rise strongly this week. The average price at the beginning of the week was 7,196 yuan/ton, and by the weekend, it had increased to 7,650 yuan/ton, marking a weekly gain of 6.31%.

Image: Styrene Product P-Value Curve Chart (Source: Business Society Commodity Analysis System)

News: On January 29, international crude oil futures surged significantly. The settlement price for the March contract of U.S. WTI crude oil futures was $65.42 per barrel, up by $2.21 or 3.5%. The settlement price for the April contract of Brent crude oil futures was $69.59 per barrel, up by $2.22 or 3.4%.

Cost Side: During the period, the import volume of pure benzene rebounded, and the inventory at Jiangsu ports increased slightly month-on-month. The profitability of downstream styrene improved, leading to a recovery in operating rates and driving an increase in demand for pure benzene. Boosted by macroeconomic sentiment, the short-term market trend is expected to remain strong with fluctuations.

Supply and Demand Side: This week, styrene supply remained tight. During the week, the Zhonghua Quanzhou plant is in the process of restarting and is expected to begin production in early February. The Tianjin Bohua plant is also scheduled to restart in early February. Geopolitical tensions have driven up oil prices, and macroeconomic support has strengthened. However, due to the continuous rise in styrene prices, negative feedback from downstream industries has intensified. The operating rates of downstream 3S industries have decreased to varying degrees, weakening support from the demand side.

Styrene External Market: On January 29, the closing prices for the styrene market in Asia rose by $15 per ton, reaching $1,000–1,010 per ton FOB Korea and $1,005–1,015 per ton CFR China.

Outlook: In the future, as some plants restart, supply-side expectations are expected to weaken. For now, raw material costs and supply still provide support. It is anticipated that the styrene market will remain resilient in the short term, with prices more likely to rise than fall.