Styrene: Imports soar in the first month of 2019

According to customs statistics, the volume of imports in the first month of 2019 hit a record 391,400 tons, second only to 422,500 tons in September 2015, the second highest peak in recent years. The chain rose by 17.6% from the previous month; it was up 50.7% from the same period last year. The average import price fell by 20.6% from the previous month. From this point of view, the amount of styrene imported this month rose.

According to customs statistics, in January 2019, China’s styrene export volume was 0.5966 million tons, and the average export price was 988.45 US dollars/ton.

In the whole year of 2018, the total import volume was 2,913,500 tons, and the monthly average import volume was 242,800 tons. This month’s import volume increased by 152,600 tons, which shows that the pressure on the styrene import supply market is severe. Compared with the import situation in the past three years, the import volume in January is basically at the median level of the whole year, but it is clear that the data in January 2019 soared, which made market participants worry about the follow-up supply. On the one hand, the import volume in January was relatively large. Due to the weather factors affecting some cargo delays and detention in December, it affected the arrival and unloading time of cargo. Some import data were extended until January, which also caused this month’s data bias. On the other hand, the import sources are mostly dependent on the Chinese market. Although the overall import volume has shown a downward trend in recent years, it still maintains a high level of imports.

From the analysis of the proportion of imports in January, Saudi Arabia, Japan, Singapore, and Taiwan accounted for 74.36% of China’s major importing countries and regions, of which Saudi Arabia accounted for 26.24%, and Japan accounted for 20.78%. Singapore’s share rose to 14.46%, and South Korea’s imports continued to fall this month, accounting for 4.72%. It can be seen from the above table that the increase in styrene imports this month is mostly due to Saudi Arabia and Japan. In March-April, the Japanese, Korean, and Taiwanese installations are scheduled to be overhauled. The number of exports to China may be reduced, but the European ocean source is expected to increase to balance the market.