From October 28, 2022 to November 4, 2022, the production price of coal tar in Shanxi continued to rise. According to the monitoring of the business community, the average market price was 6512.5 yuan/ton last weekend and 6712.5 yuan/ton this weekend, up 3.07%.

On November 3, the coal tar (high temperature) commodity index was 231.47, up 6.9 points from yesterday, hitting a new record high in the cycle and 390.92% from the lowest point of 47.15 on December 6, 2015. (Note: the cycle refers to 2011-09-01 to now).

The bidding price in Shanxi continued to rise slightly this week. The downstream deep processing industry still has support. The tar supply is tight, supporting the raw material price to a new high.

The K-bar chart of commodity prices reflects the weekly or monthly price changes in the form of a bar chart based on the concept of price trend K-line. Investors can buy, sell and invest according to the changes in the K-bar chart. Red means rising; Green means: down; The height of the K column indicates the range of rise and fall. It can be seen from the monthly coal tar K column chart above that since January 2022, the coal tar market has risen for six months, only slightly declined in May, and the price remained stable in February. The weekly K-bar chart shows that the coal tar market has risen for 12 consecutive weeks, and only after a small price correction in one week, the price continues to rise.

In terms of the industrial chain, the downstream deep processing industry rose and fell by half this week. As the coal tar price continued to rise, the profit of the deep processing industry was further tightened, and the deep processing industry’s resistance to the high price of coal tar was strengthened again. This week, the traffic in some production areas was blocked, resulting in poor delivery. Therefore, some enterprises started to operate at a certain decline. The overall operating rate of the deep processing industry declined slightly, but remained at a relatively normal level.

The price of coal tar continued to rise this week, but there were some differences in the rise rates of different regions. Under the joint influence of poor transportation in some areas and tight supply of coal tar due to the heavy production restriction of coke enterprises, the price in Shanxi has risen sharply this week. At present, the mainstream price is 6700-6880 yuan/ton. The price in other regions rose slightly this week, with the mainstream price in Shandong Province at 6400-6450 yuan/ton and Hebei Province at 6400 yuan/ton. The downstream market rose and fell by half this week, and the support for tar declined. The profits of downstream deep processing enterprises continued to shrink, and they were somewhat resistant to high priced raw materials. However, as the heating season approaches, the operating rate of coking enterprises is likely to decrease, and the tar will soon enter a period of seasonal tight supply. Therefore, the tar price will be dominated by a consolidation trend at a high level in the future market, and it is difficult to continue to rise.