The butadiene rubber market experienced a significant decline in April. According to the Commodity Market Analysis System of Shengyi Society, as of April 29th, the butadiene rubber market price in East China was 11950 yuan/ton, a decrease of 14.09% from 13910 yuan/ton at the beginning of April. The price of raw material butadiene has dropped significantly, and the cost center of butadiene rubber has shifted downwards; The production of butadiene rubber has increased, and the pressure on the supply side has slightly increased; In April, the production of semi steel tires in the downstream remained stable, while the production of all steel tires slightly decreased, which slightly weakened the support for the demand for butadiene rubber. As of April 29th, the mainstream prices for Qilu, Daqing, Sichuan, and Yangtze Shunding in East China were 11850-12250 yuan/ton.

Since April, the price of butadiene has significantly decreased, and the cost center of butadiene rubber has shifted downwards. According to the Commodity Market Analysis System of Shengyi Society, as of April 29th, the price of butadiene was 9133 yuan/ton, a decrease of 16.97% from the 11000 yuan/ton at the beginning of April.
In April, the domestic production of butadiene rubber plants slightly increased, with the overall production rate rising from around 6.00% at the beginning of the month to around 6.70%. However, there is still pressure on the supply side of butadiene rubber.
On the demand side, the slight decrease in downstream tire production in April mainly supported the rigid demand of the butadiene rubber market. As of April 29th, the operating load of semi steel tires in domestic tire enterprises was around 7.8%; The production of all steel tires by tire companies in Shandong Province has slightly decreased to around 6.3% of the load.
Market forecast: From a fundamental perspective, analysts from Shengyi Society believe that in the short term, the price of butadiene will consolidate weakly, and the cost support for butadiene rubber will still be weak; The slight fluctuation in downstream construction has provided support for the demand for butadiene rubber, but downstream inquiries are not active, resulting in weak transactions for butadiene rubber. Overall, it is expected that the butadiene rubber market will consolidate weakly in the later stage.