the PTA-PX processing spread

Processing margin
In 2019, the PTA processing margin continued to rise, with an average annual processing margin of about 1,020yuan/mt, which is about 9% higher than 936yuan/mt in 2018. From Jan to Mar, the PTA-PX processing spread was at 650-880yuan/mt, and then increased to around 1,400-1,800yuan/mt. From Aug, the processing spread was rapidly compressed, from 1,000yuan/mt at the beginning of Aug to around 300yuan/mt in Dec.

Remarks: PTA-PX processing spread is calculated at 0.656 * PX * 1.02 * 1.16 * exchange rate. (After April 1st, VAT was reduced from 16% to 13%)