According to the Commodity Market Analysis System of Shengyi Society, from March 10th to March 17th, the domestic butadiene market price decreased from 11200 yuan/ton to 11037.5 yuan/ton, with a price reduction of 1.45% during the period. This week, the butadiene market first fell and then rose, but overall it is still weak. At the beginning of the week, the overall trading trend continued from the previous period, and the market was weak. Later, as the downstream synthetic rubber futures market began to improve and mainstream enterprises in East China temporarily shut down, the dual factors led to holders holding up prices and being reluctant to sell, driving the atmosphere of the spot market to improve and market prices to slightly rebound.

Cost wise: The crude oil price trend has been weak during this period. As of the 13th, the settlement price of the main contract for WTI crude oil futures in the United States was $66.55 per barrel, and the settlement price of the main contract for Brent crude oil futures was $69.88 per barrel. The international oil price trend has declined. As of the 13th, the settlement price of the main contract for WTI crude oil futures in the United States was $66.55 per barrel, and the settlement price of the main contract for Brent crude oil futures was $69.88 per barrel. On the one hand, the United States is increasing its crude oil production, coupled with escalating trade tariffs that may suppress global economic growth, which is bearish for the international oil market. On the other hand, the situation between Russia and Ukraine has eased. If the geopolitical situation between Russia and Ukraine ends, the US oil sanctions against Russia will also be relaxed, and international oil prices will fall due to this impact.

Supply side: The listed price of butadiene for various sales companies of Sinopec is 11100 yuan/ton, which will be lowered by 200 yuan/ton this week.

Demand side: The domestic synthetic rubber market in this cycle first fell and then rose. According to the commodity market analysis system of Shengyi Society, on March 14th, the styrene butadiene rubber market in the northwest region slightly rose, and the synthetic rubber futures market strengthened, driving up the spot market price. Currently, downstream inquiries are cautious, market transactions are flat, and supplier offers have been raised by around 100 yuan/ton. The mainstream price of Jihua 1502 is 14200 yuan/ton

Market forecast: The recent trend of the crude oil market remains weak, providing insufficient support for the market. The recent temporary parking of mainstream enterprises in East China has provided some support for the spot market in terms of supply, but overall, the inventory of butadiene in the market is relatively high. In terms of demand, downstream procurement has been biased towards rigid demand recently, with no significant positive boost. Overall, the favorable support for the butadiene market is insufficient, and it is expected to maintain a slight oscillation trend in the short term.