The market has fallen back, and the benefit has continued to shrink

From the perspective of the overall cash flow of the styrene industry chain, styrene continues to be under high cost pressure. In addition, after the sharp rise in oil prices in 2022, although the market shows a generally upward trend, the cash flow loss situation continues to maintain. As for the downstream, under the pressure of the styrene market, the supply and demand of PS and EPS is weak as a whole and the cash flow maintains a downward trend, especially PS, the supply pressure brought by rapid capacity expansion further suppresses the market and reduces the price spread between styrene and PS. In 2022, the cash flow has been near the break-even line for a long time, and some time there has been obvious losses. The surplus of EPS maintains, and the market will follow the trend of styrene while maintaining a certain price spread. However, due to the long-term impact of the epidemic, logistics and transportation, and sluggish demand, it is difficult to have a better market performance as a whole. Moreover, the high-profit of ABS has also changed significantly in the past few years. Since the fourth quarter of 2021, with the decline of the market price, the cash flow of ABS has decreased significantly. In 2022, the cost pressure continues to increase, and the ABS market continue to decline, resulting in a further narrowing of the price spread. The profit of enterprises has accelerated to decline, and the current poor market situation is maintained. The high cost pressure brought by oil prices has not changed, and the ABS profit continues to decline