The main reason comes from the operation of plants

The main reason comes from the operation of plants. From August to early November, the operating rate of ACN plants was remained at about 70% due to the unit maintenance and production reductions of various plants. Besides, the inventory pressure was relieved by the export of nearly 57kt ACN from August to September. Since late November, considering the restart of Shandong Koruhr and Shandong Haili, as well as the slight increase in the operating rate of some manufacturers, market participants are worried about an increased sales pressure given the rise in supply. Therefore, prices of plants may be less converging and the fulfilling of sales targets through preferential prices will be the focus of the market. By end-November, PetroChina Jilin may restart its last production line, and factors such as the increase of Liaoning Bora's operation will pose continues pressure on sales.