Feedstock preparation and refunding problem

Before and after New Year's Day is basically the peak of raw material replenishment. However, during the price increase path of CPL- chip-filament, price increase is significantly higher than in the upstream that of the downstream, indicating that the speculation atmosphere is higher than the actual stock. Downstream factories are not willing to restock the higher-priced raw materials, and the actual quantity of stock is lower than that of previous years.

In addition, the problem of refunding this year is more prominent, and the more downstream, the more difficult it is. This has led to a shortage of cash flow in the factory, which in turn affects the feedstock preparation. According to the survey, plants who have confirmed plan to replenish feedstock have prepared 15-30 days of feedstock, and a few only have 5-10 days (based on their daily production need). But since the downstream industries are relatively scattered, and there are significant differences among different enterprises, it is only for reference.