Market: refrigerant prices continue to rise, mainstream varieties show structural differentiation

The current refrigerant market continues to run at a high level, by the traditional maintenance season superimposed on the impact of policy regulation, supply and demand continue to tighten. Under the background of increasing industry concentration, the market continues to warm up bullish sentiment. The following are the latest developments of various varieties: 

 ▶ R32 (difluoromethane) The market supply continues to be tight due to the demand support from the hot weather and the consumption of half of the annual quota. Producers are generally adopting a controlled sales strategy, with the mainstream offer range of RMB 59,000-60,000/ton, and the actual transaction price is close to the offer. It is expected to break through the RMB 60,000/tonne mark within a month, and it is recommended to pay attention to the progress of quota implementation. 

▶ R22 (Difluoromonochloromethane) Under the continuous promotion of the special action of "combating non-compliance", the supply of compliant capacity has been tightened. Producers have a strong willingness to support prices, the center of gravity of the price has climbed to 39,500-40,500 yuan / ton, the current market circulation of small packages of goods is dominated by the purchaser is advised to plan ahead of rigid demand. 

▶ R134a (Tetrafluoroethane) Benefiting from the policy dividend of new energy automobile industry, the consumption of domestic trade quota has accelerated. Producers are actively pushing up the price, which is stable in the range of RMB 50,000-51,000/ton. 

▶ R410a (mixed refrigerant) Influenced by the conduction effect of R32 price hike, the price is synchronized upward to RMB 50,000-51,000/ton. It is recommended to pay attention to the feasibility of formula adjustment to optimize the cost structure. 

▶ R125 (pentafluoroethane) Affected by the weak end demand, enterprises regulate the market supply through plant maintenance, and the price remains relatively stable. It is recommended to pay attention to the subsequent recovery of the real estate industry chain. 

▶ R227ea (Heptafluoropropane) High quota concentration coupled with strong demand in the field of fire fighting, mainstream enterprises to control the sale of goods. Currently, the price maintains a high level of RMB 75,000-77,000/ton, and some enterprises are ahead of the quota consumption schedule, so we suggest customers to make a good long term supply guarantee. 

[Summary of reasons for sustained high prices]

 Policy: environmental protection regulation tightened compression of non-compliant production capacity 

 Supply side: annual production quota consumption of more than half of the maintenance season supply contraction 

 Demand side: the traditional preparation cycle is approaching, the new energy field continues to power 

 Cost: raw material prices run high to form support