The agency predicts that China's sulfur price may remain high in the first half of 2022, and the sulfur industry is expected to boom upward.
Following the breakthrough of 3000 yuan / ton last month, China's sulfur price continues to be open and linked. According to the monitoring data of business agency, as of April 6, the average price of sulfur in China reached 342667 yuan / ton, an increase of more than 70% during the year.
sulfur price hit a new high in the year
2022 sulfur industry is expected to rise
It is reported that as an important raw material for the production of phosphorus and compound fertilizer, the price rise and tight supply of sulfur have a direct impact on the normal operation and production of Chinese phosphorus and compound fertilizer enterprises. Since the beginning of 2022, with the rising demand for fertilizer for spring ploughing, the price of sulfur has further increased, from 2000 yuan / ton at the beginning of the year to 3000 yuan / ton in mid March. So far, the price of sulfur has reached a new high in the year
East Asia Qianhai Securities Research Report shows that on the supply side, China's sulfur market is highly dependent on imports, and the price is greatly affected by the international market. In 2021, China's total sulfur consumption was 17.02 million tons, of which 8.535 million tons were imported, with an import dependence of 50%.
According to the data of Longzhong information, the average inventory of China's sulfur ports in the first quarter of 2022 was 1.3874 million tons, with a month on month decrease of 12.52% and a year-on-year decrease of 39.88%. Both the month on month and year-on-year decrease were obvious. The obvious reduction of port inventory provided a positive effect on the market price of sulfur
Downstream, the continuous rise of sulfuric acid market supports the increase of demand for liquid sulfur. In March, China's mainstream sulfuric acid manufacturers produced at low load, with less inventory, active downstream purchase, smooth enterprise shipment, rising quotation, and strong operation in the month; The market of phosphate fertilizer is also good. In March, the market of monoammonium phosphate continued to rise, the amount of enterprises waiting to be issued is sufficient, and the high level of the market is strong; The overall demand of phosphate fertilizer enterprises is stable, supporting the upward trend of sulfur market.
According to the Research Report of East Asia Qianhai securities on April 1, at present, at the initiative of the sulfuric acid industry association, opening up the sulfur supply channel will help stabilize the price, but the downstream demand is strong during the spring ploughing period, and the tight supply situation may continue. The agency predicts that China's sulfur price may remain high in the first half of 2022, and the sulfur industry is expected to rise
more than 60% of the net profit of concept stocks doubled
According to the statistics of securities times and databao, there are only 10 companies with sulfur related businesses. Calculated according to the lower limit of net profit of annual report, express report and advance notice, the net profit of more than 60% of the company doubled in 2021, including China Petroleum & Chemical Corporation(600028) , Petrochina Company Limited(601857) two giants.
Qinghai Jinrui Mineral Development Co.Ltd(600714) net profit growth was the highest. The company achieved a net profit of 77 million yuan in 2021, a year-on-year increase of 20.6 times.
China Petroleum & Chemical Corporation(600028) Puguang gas field is the largest sulfur production base in China and the largest marine packaged high sulfur gas field found in China. Its annual sulfur output accounts for more than one third of China's output, and the purity of the product is as high as 99.98%.
Guizhou Salvage Pharmaceutical Co.Ltd(600227) Tongzi chemical has an annual production capacity of 300000 tons of methanol, 520000 tons of urea, 100000 tons of compound fertilizer, 100000 tons of ammonium sulfate and 20000 tons of sulfur.
Qinghai Jinrui Mineral Development Co.Ltd(600714) main products include strontium carbonate (including industrial grade strontium carbonate and electronic grade strontium carbonate), metal strontium, aluminum strontium alloy, strontium nitrate, strontium hydroxide and by-products sulfur and sodium sulfite. In 2021, the sulfur output of the company was 4366 tons.
Shandong Sunway Chemical Group Co.Ltd(002469) is the company with the largest number of sulfur recovery units designed and contracted in China. As of December 31, 2021, the company has completed the design and contracting of 211 sulfur recovery units, with a total scale of 10.955 million tons / year.
