HC virgin PSF meeting an opportunity to expand the market

As the epidemic gets controlled gradually, the plants restart successively, including HC virgin PSF plants of which the operating rate has improved since last week. However, downstream operating rate stays bearish, only about 20%. Previously, solid virgin PSF plants transferred the inventory rapidly to downstream by lowering price. On the contrast, selling sentiment of HC virgin PSF seems quite cold. In addition, the settlement price of Sinopec declined 350yuan/mt from Jan one, and other plants revised down the prices by 200-400yuan/mt accordingly.