Investment Rating - The report maintains a recommendation for the chemical industry, indicating a positive outlook for the sector [5]. Core Views - The report highlights significant price increases in Vitamin B1 (+12.82%) and fatty alcohols (+8.16%), suggesting a focus on companies expected to show substantial quarter-over-quarter growth in Q2 [3][4]. - The overall chemical sector saw a 0.80% increase in the second week of July, lagging behind the Shanghai Composite Index, which rose by 1.40% [13]. - The dynamic PE ratio for the chemical sector is reported at 25.37 times, which is lower than the average PE of 6.89% since 2015 [13]. Industry Performance - In the second week of July, 23 sub-industries within the chemical sector experienced growth, while 9 sub-industries declined. The top five performing sub-industries included fiberglass (+8.73%) and synthetic leather (+8.34%) [17]. - The report notes that the chemical sector's performance is characterized by a mix of price increases and decreases across various products, with significant fluctuations in inventory levels for key products [50]. Price and Spread Trends - The report identifies the top five products with the highest price increases: Vitamin B1 (+12.82%), fatty alcohols (+8.16%), and dichloropropane (+8.11%) [22]. - Conversely, the largest price declines were seen in liquid chlorine (-48.51%) and hydrochloric acid (-8.29%) [22]. - The report also highlights significant changes in price spreads, with ethylene spreads increasing by 816.67% [32]. Inventory Changes - Notable inventory changes include a 15.88% increase in polyester filament and a 10.08% increase in polyester chips [50].

1. Report Industry Investment Rating The report does not explicitly mention an overall industry investment rating. However, it provides mid - term outlooks for various energy and chemical products, including "oscillating", "oscillating strongly", "oscillating weakly", etc., which can be used as a reference for the investment outlook of individual products [266]. 2. Core View of the Report - The energy and chemical sector is in a complex situation. Chemical products generally follow the strong trend of crude oil. The geopolitical risk between Iran and Israel has intensified, leading to increased volatility in crude oil prices, which in turn affects the prices of downstream chemical products [1][2]. - The overall outlook for the energy and chemical sector is a strong - oscillating trend, and a long - short allocation strategy is recommended [3]. 3. Summary by Relevant Catalogs 3.1 Market Views 3.1.1 Crude Oil - On June 19, SC2508 closed at 570.9 yuan/barrel, up 3.29%, and Brent2508 closed at 78.74 dollars/barrel, up 3.5%. - Geopolitical concerns in the Middle East dominate short - term oil price fluctuations. Although there have been attacks on energy infrastructure, there has been no substantial impact on crude oil production. Oil prices are expected to oscillate with high volatility [6]. 3.1.2 Asphalt - The main asphalt futures closed at 3695 yuan/ton. Spot prices in East China, Northeast China, and Shandong were 3770 yuan/ton, 3990 yuan/ton, and 3800 yuan/ton respectively. - Due to the escalation of the Iran - Israel geopolitical situation, asphalt prices have a geopolitical premium. However, in the medium - long term, the increase in heavy oil supply will put pressure on the asphalt cracking spread. The absolute price of asphalt is overvalued [7]. 3.1.3 High - Sulfur Fuel Oil - The main high - sulfur fuel oil contract closed at 3333 yuan/ton. - Geopolitical factors have led to a sharp increase in prices, but in the medium - long term, the increase in heavy oil supply will put pressure on the cracking spread. Overall, supply is increasing while demand is decreasing, and prices are expected to oscillate weakly [8][9]. 3.1.4 Low - Sulfur Fuel Oil - The main low - sulfur fuel oil contract closed at 3921 yuan/ton. - It follows the trend of crude oil. Currently, it has a low valuation and is facing various negative factors such as weak shipping demand and green energy substitution. It is expected to fluctuate with crude oil [10]. 3.1.5 LPG - On June 19, 2025, the PG 2508 contract closed at 4513 yuan/ton, up 1.28%. - Driven by rising crude oil prices, the supply pressure has been relieved, and the chemical demand has recovered. It is expected to oscillate strongly in the short term [10]. 3.1.6 PX - On June 19, the CFR price of PX in Taiwan, China was 904 (16) dollars/ton, and PX 2509 closed at 7094 (106) yuan/ton. - The supply capacity of Asian PX is increasing, and the support from the supply - demand fundamentals in China is weakening. Short - term fluctuations are mainly affected by crude oil. It is expected to be strong in the short term due to production cut news [12]. 3.1.7 PTA - On June 19, the spot price of PTA was 5175 (- 30) yuan/ton, and the spot processing fee was 269 (- 118) yuan/ton. - The supply - demand situation of PTA is weakening at the margin, and it follows the short - term trend of crude oil. It is expected to be strong in the short term following the cost side [12]. 3.1.8 Styrene - On June 19, the spot price of styrene in East China was 8050 (100) yuan/ton. - The future driving force is insufficient. The supply may increase, and the demand is weak. It is expected to oscillate weakly [11][12]. 3.1.9 Ethylene Glycol (EG) - On June 19, the price of ethylene glycol increased, and the basis weakened. - It has a low - inventory pattern and is driven by rising crude oil prices. The weekly operating rate reached a five - year high. It is expected to oscillate strongly [14][15]. 3.1.10 Short - Fiber - On June 19, the price of polyester short - fiber was 6800 (+ 55) yuan/ton. - The short - fiber industry has a good pattern. The rise in crude oil prices leads to a compensatory increase in the downstream industry chain. The processing fee has limited compression space. It is expected to oscillate strongly [15][16]. 3.1.11 Bottle Chip - On June 19, the price of polyester bottle chips increased with the rise of raw materials. - The processing fee is in an oscillating pattern. As production cuts are implemented, the processing fee is expected to expand. Long positions in the processing fee can be gradually arranged [17]. 3.1.12 Methanol - On June 19, the low - end spot price of methanol in Taicang was 2750 yuan/ton. - The situation in Iran provides short - term support. The inventory in ports has decreased, and coal prices have stabilized. It is expected to oscillate strongly in the short term [20][21]. 3.1.13 Urea - On June 19, the low - end factory and market prices of urea were 1790 (+ 20) and 1820 (+ 0) respectively. - High supply continues, but the demand at home and abroad has started. The overseas supply is affected by geopolitics, leading to a sharp increase in overseas prices. It is expected to oscillate strongly [21]. 3.1.14 LLDPE (Plastic) - On June 19, the mainstream spot price of LLDPE was 7400 (20) yuan/ton. - Affected by the rise in oil prices, the short - term price has rebounded. However, the fundamentals are still under pressure. It is recommended to wait and see in the short term [23]. 3.1.15 PP - On June 19, the mainstream transaction price of East China wire drawing was 7250 (30) yuan/ton. - Driven by the rise in oil prices and supported by methanol, the supply is increasing, and the demand is weak. It is recommended to wait and see in the short term [24]. 3.1.16 PVC - On June 19, the benchmark price of PVC by calcium carbide method in East China was 4840 (+ 0) yuan/ton. - Affected by the rise in energy prices, but the fundamentals are still under pressure. The cost has increased, and it is expected to oscillate [26]. 3.1.17 Caustic Soda - On June 19, the price of 50% caustic soda in Shandong was 2760 (+ 0) yuan/ton. - The supply and demand are weak in June and July. The spot price is under pressure, and the futures price follows the production - cut logic. It is expected to operate weakly [27]. 3.2 Variety Data Monitoring 3.2.1 Energy and Chemical Daily Index Monitoring - The report provides data on the basis, change values, and warehouse receipts of various products such as asphalt, high - sulfur fuel oil, low - sulfur fuel oil, etc. It also shows cross - variety spreads and their change values [28]. 3.2.2 Chemical Basis and Spread Monitoring - Although the report lists various products such as methanol, urea, styrene, etc., no specific data or analysis content is provided in the given text.

1. Report Industry Investment Rating No relevant information provided. 2. Core Viewpoints of the Report - The maintenance season for PX, PTA, and MEG is coming to an end, and demand negative feedback is gradually emerging [2][152]. - For PX, as of May 30, the Asian PX operating load was 72%, a month - on - month increase of 4.1 percentage points; the Chinese PX operating load was 82.1%, a month - on - month increase of 8.9 percentage points. There are still some device maintenance plans from June to July, especially concentrated in July, with tight supply - demand. The cost side is expected to continue to be under pressure, but the PX fundamentals are expected to be favorable, supporting price and PXN profit repair [152]. - For PTA, as of May 30, the PTA operating load was 76.4%, a month - on - month decrease of 1.3 percentage points. In June, more PTA devices will restart, and there are still maintenance plans for some devices. There is an expectation of increased supply. The polyester operating load may show a slight downward trend in June. With increased supply and stable demand, the TA price faces upward pressure [152]. - For MEG, as of May 29, the overall operating load of ethylene glycol in mainland China was 59.83% (a month - on - month decrease of 8.6%), and the operating load of synthetic gas - based ethylene glycol was 57.19% (a month - on - month decrease of 5.02%). The cost of coal - based production has decreased, and the subsequent production is expected to increase. With increased supply and stable demand, the EG price may show a weak and volatile trend [152]. 3. Summaries According to the Directory 3.1 PX&PTA&MEG Price: Following Crude Oil Price Fluctuations - **Futures Prices**: From April 30 to May 30, 2025, PTA futures closing price increased by 266 yuan/ton (6.0%), MEG increased by 194 yuan/ton (4.7%), and PX increased by 406 yuan/ton (6.5%) [6]. - **PTA Basis and Spread**: The PTA basis and spread showed certain changes from April to May 2025, with the basis expanding significantly [15]. - **MEG Basis and Spread**: Similar to PTA, the MEG basis and spread also changed, and the basis expanded [12][15]. - **TA - EG Spread**: From April 30 to May 30, 2025, the TA - EG spread increased by 72 yuan/ton (25.8%) [18]. - **TA - PX Processing Spread**: From April 30 to May 30, 2025, the TA - PX * 0.656 spread remained unchanged [22]. - **Domestic and Overseas Ethylene Glycol Spread**: From April 30 to May 29, 2025, the price difference between domestic and overseas ethylene glycol changed, with the European - Chinese spread decreasing by 34.1% [25]. - **PX - Related Spreads**: The spreads between PX and crude oil, MX, and naphtha all changed from April to May 2025 [28]. 3.2 PX&PTA&MEG Supply Situation: Focus on Device Maintenance Implementation - **PX**: As of May 30, Asian and Chinese PX operating loads increased. There are still maintenance plans from June to August, especially in July, with a concentrated supply loss of 24.8 million tons [33][37][152]. - **PTA**: As of May 30, the PTA operating load decreased. In June, more devices will restart, and there are still some maintenance plans. New device production is expected to increase supply [35][152]. - **MEG**: As of May 29, the overall MEG operating load in mainland China decreased. There are maintenance and restart plans for domestic and overseas devices in different months [53][55][56][57]. 3.3 PX&PTA&MEG Import and Export Situation: High Global Trade Concerns - **PX**: In April 2025, China's PX imports decreased. The decrease was due to device maintenance, reduced downstream demand, and tariff concerns [63]. - **PTA**: In April 2025, China's PTA exports increased. The main export destinations include Turkey, Egypt, etc. [65]. - **MEG**: In April 2025, China's MEG imports decreased month - on - month but increased year - on - year. The main import sources are Saudi Arabia, Canada, etc. [68]. - **Polyester Products**: In April 2025, China's polyester product exports reached a record high for the same period. Different polyester products showed different export trends [71]. 3.4 PX&PTA&MEG Inventory Situation: Rising Downstream Raw Material Inventory - **PTA**: PTA polyester factories' raw material inventory increased, and the number of warehouse receipts decreased [91]. - **MEG**: As of May 26, the MEG port inventory in the East China main port area was about 68.7 million tons, showing a de - stocking trend [94]. 3.5 Polyester Demand Situation: Terminal Demand Underperforms Expectations - **Domestic Polyester Data**: In May 2025, compared with April, the polyester load decreased slightly, while the load of some related equipment increased. The inventory days and cash flow of some products changed [97]. - **Terminal Demand**: Terminal demand support is insufficient, and the inventory of polyester yarns has increased. The digestion of the weaving industry is weak, but the daily trading volume of the Light Textile City is expected to recover [98][101][103]. - **Textile and Garment Exports**: In April 2025, China's textile and garment exports increased year - on - year, with different trends for textiles and clothing [112]. - **Domestic Garment Retail**: In April 2025, the retail sales of domestic clothing - related products increased year - on - year but decreased month - on - month [115]. 3.6 PX&PTA&MEG Position Situation - **PTA Futures Position**: On May 30, 2025, the PTA futures total position increased compared with April [126]. - **MEG Futures Position**: On May 30, 2025, the MEG futures total position increased compared with April [126]. - **PX Futures Position**: On May 30, 2025, the PX futures total position increased compared with April [126].

Group 1: Report Summary - Report Title: Styrene Weekly Report - EB: Weak Supply-Demand Expectations, Focus on Raw Material Resonance Opportunities [1] - Core View: Crude oil is expected to be weak in the medium term under Trump's policy, suppressing the valuation of chemical products. Pure benzene's supply-demand situation shows short-term marginal improvement but still faces pressure, dragging down the styrene price. Styrene's downstream demand is weak, and the supply-demand balance is under pressure. In the medium term, the terminal pressure will gradually emerge due to tariff effects, and high-cost styrene may face resistance. [5] - Strategy Suggestion: Maintain a short position on styrene, with the upper resistance level for the near-month contract at 7300. Sell the EB2506-C-8000 option. [6] Group 2: Pure Benzene 2025 Production Plan - Multiple companies in various provinces have plans to expand pure benzene, styrene, and their downstream production capacities in 2025, including Shandong Yulong Petrochemical, ExxonMobil in Guangdong, etc. [8] March - May 2025 Device Dynamics - Many pure benzene production devices are scheduled for maintenance from March to May 2025, resulting in a net reduction in supply and demand during this period, with a slight inventory drawdown. [10][11] Supply, Inventory, and Price - From January to April this year, the cumulative pure benzene production was 718.5 million tons, a year-on-year increase of 6.11%. As of May 9, the capacity utilization rate was 73.25%, and the weekly production was 401,600 tons. The port inventory remained at 120,000 tons without significant change. [45] - South Korea's exports of pure benzene to China have remained at a high level, and the inventory drawdown has been slow due to high production and imports. [28][34] Downstream Situation - The weighted average operating rate of pure benzene downstream industries has rebounded recently with the restart of styrene devices. However, the overall profit is weak, with adipic acid and caprolactam still experiencing significant losses, and styrene's profit has improved but remains below the break-even point. [46][57] Group 3: Styrene Futures and Spot Market - The spot price and basis of styrene show certain fluctuations, and the monthly spread and registered warehouse receipts also have corresponding changes. [63] Supply and Profit - The monthly and weekly production of styrene and the operating rate show upward trends in general. The non-integrated and integrated profits of styrene and the styrene-pure benzene spread also fluctuate. [68][71][72] Import and Export - With the shutdown of multiple styrene devices in Asia, China has gradually shifted from a net importer to a net exporter of styrene in the past five years, and exports have continued from April to May. [80] Inventory - The port inventory of styrene has continued to decline, with relatively limited year-on-year pressure, while the factory inventory is under pressure. [81] Downstream Situation - The high capacity growth rate of 3S (PS, EPS, ABS) has intensified competition, and the high production has supported the demand for styrene. However, the industry is facing profit compression, and the current downstream is characterized by low profit and high inventory, indicating limited terminal demand. [86][90] - The prices of 3S products have weakened, but the estimated profit has strengthened due to the significant fluctuations in styrene prices. [91] - The high production of 3S has led to a significant increase in inventory, indicating resistance in demand transmission, and the support for styrene demand may weaken marginally. [96][99] Terminal Market - After the implementation of tariffs, exports are likely to be restricted, and domestic demand depends on subsidy policies. The domestic and export sales of home appliances such as air conditioners, refrigerators, and washing machines show certain trends. [100]