Recently, the company received Shenwan Hongyuan and other institutions to investigate and respond to related issues such as spandex market capacity, BDO and PTMEG new projects.
The details are as follows:
1. May I ask the current production capacity of the company's spandex and whether there is a new production capacity plan in the future? How is the production progress?
A: At present, the company's spandex production capacity is 325,000 tons, and the following 200,000 tons of capacity is still under construction, and it is expected that the construction will be completed in 2025, and the company will announce the follow-up progress according to the relevant rules.
2. What is the current profit situation of spandex industry?
A: This year, the spandex industry in the cost of strong support and limited demand recovery in the double pressure game, the market oversupply, the current product price close to the historical bottom of the narrow range adjustment.
3. In today's spandex market, whether some manufacturers' production capacity has been eliminated?
A: Yes, but it is relatively small and will not have a major impact on supply.
4. What is the inventory situation of the spandex industry? How is the company's inventory?
A: Currently, the industry average inventory is about 40 days. The company's inventory is less than one month.
5. How has the demand of spandex industry changed in recent years? How does the company view the future trend of spandex industry?
A: Over the years, the apparent demand for spandex industry has maintained a growth trend, except for 2022 due to force majeure and other factors, the demand was flat compared with the previous year. We have been firmly optimistic about the future prospects of the spandex industry, for three reasons: First, in recent years, with the change of consumer concepts and consumer demand upgrades, the downstream application range of spandex continues to expand the proportion is also rising, such as sun clothing, yoga clothing and isai; Second, spandex products with its unique flexibility and continuous rich differentiated functionality, in the foreseeable future there are still no other high-quality substitutes; Third, the concentration of spandex industry is increasing, and the development trend of industry competition toward oligopoly and differentiation is more clear. We believe that with the gradual recovery of the supply and demand environment into the right track, product prices gradually pick up, demand will also return to the right track.
6. What is the cost difference of spandex between Ruian Base and Chongqing base?
A: The company's Ruian base was built many years earlier than Chongqing, and Chongqing has more advantages than Ruian. The company's main production capacity is in Chongqing, and the new production capacity will be more environmentally friendly, economic and efficient than before.
7. May I ask if the company has advantages in raw material purchase price, energy and transportation, but will the above advantages be replicated by other manufacturers?
A: The company focuses on spandex industry for 20 years, has accumulated rich experience in production technology management, through accurate accounting analysis, energy saving and consumption reduction, continuous technological transformation and other ways, so that our unit energy consumption, gross profit margin are in the world's leading level of the same industry, the company in consolidating the original advantages at the same time, increase R&D investment, improve R&D capacity, expand the proportion of differentiated products, Enhance the added value of products, further optimize the product structure and profit structure, transform from scale advantages to quality brands, and consolidate and expand competitive advantages.
8. As downstream textile manufacturers build factories overseas one after another, will the company plan to build factories overseas?
A: The company has always attached importance to the development of overseas business, the company's overseas marketing network throughout Europe, the United States, Southeast Asia and other countries and regions, the current external environment is complex and changeable, the company has no overseas plant plan.
9. May I ask what considerations the company has based on the announcement of the upstream investment project?
A: The new project is in line with the company's development strategy of "strengthening the main business, moderate diversification, innovation-driven, and integration of industry and finance", which is conducive to forming an industrial pattern of upstream and downstream integration, realizing the strong chain of the industrial chain to supplement the chain and extend the chain, resisting the industry cycle, improving the comprehensive competitive advantage, further enhancing the company's profitability and anti-risk ability, and consolidating the industrial advantage and industry leading position. 250,000 tons! Spandex tap into BDO
10. What is the current profit situation of adipic acid and what is the future market demand?
A: This year, affected by the domestic and foreign economic environment and industry prosperity, downstream production does not meet expectations, weak demand, the current benzene-hexine difference in the bottom area of the year, downstream inventory is also at a low level. In the future, with the gradual recovery of the economic environment and the introduction of supporting policies for the industry, the release of downstream demand, especially the breakthrough of domestic adipdinitrile technology, nylon 66 will usher in a new round of growth; At the same time, with the promotion of national policies such as plastic restriction, PBAT still has a large amount of production capacity investment, and these two industries will become the biggest driving force for the consumption growth of adipate products in the future.
