Butadiene Rubber Market Morning Briefing

The price of raw material butadiene has retreated, which is bearish on costs. However, after the factory and market prices of styrene-butadiene rubber (SBR) both declined and adjusted downward, production continues to show a significant inverted trend. There are signs that subsequent start-ups on the supply side may decrease, which could help ease the pressure from high inventory levels earlier. Longzhong Information expects the domestic SBR market to continue its weak consolidation today, with mainstream prices testing around cost levels. Trading activity remains focused on the lower end of the range, closely following actual transaction progress. (Longzhong Information)