Introduction to this report:
Basic chemical recommends leading enterprises with medium and long-term volume increase under large capital expenditure and high growth targets of subdivided tracks.
Summary:
Zhou viewpoint: 1. Coal chemical industry: the high-end solvent and nylon 66 project has been started, and the high-end pace is firm.
On February 25, the Shandong Hualu-Hengsheng Chemical Co.Ltd(600426) high-end solvent and nylon 66 high-end new material project started, with a total investment of 4.1 billion yuan. It is expected that the project will be put into operation in March 23. The price difference of most products of the company decreased last week, but considering the continuous rise of crude oil price, the highest price of Brent crude oil broke 100 last week, and the volume increase of medium and long-term new materials and Jingzhou new base is highly certain, Shandong Hualu-Hengsheng Chemical Co.Ltd(600426) . 2. MDI: since March 2022, the listing price of pure MDI of the company has been 26800 yuan / ton (3000 yuan / ton higher than the price in February). As of February 25, the price of aggregate MDI was 19750 yuan / ton, with a weekly increase of – 5.95%, a monthly increase of – 5.5% and a quarterly increase of 3.67%; The price of pure MDI is 23750 yuan / ton, with a weekly increase of + 1.50%, a monthly increase of + 9.7% and a quarterly increase of + 7.22%. In the petrochemical sector, MTBE led the price increase, and the price of raw material LPG rose sharply. 3. Titanium dioxide: last week, the latest price of titanium dioxide (sulfuric acid method) was 20650 yuan / ton, with a weekly ring ratio of 0% and a monthly ring ratio of 0%. The latest price of titanium dioxide (chlorination method, Jinzhou titanium industry) was 25000 yuan / ton, with a weekly ring ratio of 0% and a monthly ring ratio of 0%. In terms of operation, the company announced that it had signed the strategic cooperation framework agreement with the second geological and Mineral Survey Institute of Henan geological and mineral exploration and Development Bureau. 4. Conductive carbon black: downstream applications of conductive carbon black include lithium-ion batteries, conductive shielding materials for high-voltage cables, etc. As new energy electric vehicles become the trend of the times, the global output of power batteries is expected to maintain rapid growth. In this context, the global demand for lithium battery grade conductive carbon black is expected to grow rapidly in the next five years, with an average annual compound growth rate of 21-25 or 34%. However, due to the high production barriers and certification barriers, the current market is monopolized by foreign giants. We are optimistic about the long-term domestic substitution trend. 5. PVDF: last week, the market price of PVDF remained stable and the cost side support remained strong. Marginal change last week: according to Baichuan information, the ex factory quotation of polyvinylidene fluoride (PVDF) powder is 29 Shenzhen Sed Industry Co.Ltd(000032) 0000 yuan / ton (coating), the ex factory quotation of granular material is 28 Shenzhen Special Economic Zone Real Estate&Properties (Group).Co.Ltd(000029) 0000 yuan / ton, and the quotation of lithium battery is 45 Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048) 0000 yuan / ton. On the cost side, the recent market reference quotation of raw material R142b is 195000200000 yuan / ton.
Investment recommendations: recommendations for investment recommendations: recommendations for recommendations: recommendations for the ‘ Wanhua Chemical Group Co.Ltd(600309) \\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\35.
Risk tip: the product price drops and the demand is lower than expected.
