Eyes could rest on the operation of Sinochem Quanzhou

Due to rising coal prices recently, coal-based producers in Shanxi, Anhui and Henan are facing increasing pressure. Some producers may lower operating rate or shut down units. In terms of conventional units, CSPC shut its #2 unit and Gulei PC lowered operating rate. Eyes could rest on the operation of Sinochem Quanzhou.

In terms of import cargo supply, output in Japan and South Korea has decreased. Mar loading of Iran origin cargoes has also decreased apparently. Overall supply in the Middle East would be ample in Mar-Apr. However, considering regional reallocation, cargo arrivals from the Middle East in Mar-May might be less than expected. China's MEG imports are likely to keep low in Apr-May