Shut down for 30 days! Basf announces suspension of production for overhaul!
1.2 million tons/annual production capacity is interrupted, many industrial chains are implicated!
According to ICIS news from Singapore on February 9, BASF began to suspend production for maintenance of the MDI unit (400,000 tons/year) in Chongqing, China on February 6. The maintenance is expected to last 3-4 weeks (nearly 30 days)!
Earlier, Wanhua Chemical also announced that the Ningbo plant MDI unit (800,000 tons/year) will be repaired on February 13. That is to say, starting from today, the two large plants (with a capacity of 1.2 million tons/year) will be shut down for maintenance.
1.2 million tons/annual capacity maintenance
Wanhua Chemical: Wanhua Chemical suddenly announced on February 3rd that the MDI Phase II unit (800,000 tons/year) in Ningbo factory would be stopped for maintenance, and the maintenance would start from February 13th, which is expected to take about 30 days!
Basf: From February 6th, BASF began to suspend production for maintenance of the MDI unit (400,000 tons/year) in Chongqing, China. The maintenance is expected to last 3-4 weeks
MDI is considered to be one of the bulk products with the highest comprehensive barriers in the chemical industry. At present, the global production capacity is mainly concentrated in Wanhua Chemical, Huntsman, BASF, Coxtron, Dow and other factories. In terms of geographical distribution, the global MDI production capacity is mainly distributed in Europe and China.
Both BASF and Wanhua Chemical are global MDI production giants. Wanhua's production capacity in China has reached 2.7 million tons/year, while BASF's production capacity in China has also reached 590,000 tons/year. According to the production capacity distribution of China's MDI, the production capacity in maintenance this time accounts for nearly 30% of China's total production capacity.
Even before production was halted, major manufacturers started to adjust prices, ranging from 1,000 yuan to 2,100 yuan per ton.
Price increase before production?
Basf: On January 27th, we will immediately increase the price of basic MDI products in ASEAN and South Asia by US $300 / ton (about RMB 2,100 / ton).
Wanhua Chemical: On January 30th, since February, the listing price of Wanhua China regional polymerization MDI is 17,800 yuan/ton, up 1000 yuan/ton compared with January; The listed price of pure MDI is 22,500 yuan/ton, 2000 yuan/ton higher than January.
Huntsman Shanghai: In February, Aggregate MDI listed 18000 yuan/ton, up 1000 yuan/ton month on month; Pure MDI listed 22,500 yuan/ton, month on month up 2000 yuan/ton.
Since BASF, Wanhua, Huntsman and other enterprises have raised the price of aggregate MDI before the announcement of overhaul, Xiaobian found that since the end of January, the price of MDI has been high, and now the price has risen by more than 1700 yuan/ton. Now BASF is about to stop production for overhaul, Xiaobian thought that the price is expected to continue to rise.
