Report Summary 1. Investment Rating - Unilateral: Neutral; Inter - period: None; Inter - variety: None [3] 2. Core Views - Market analysis shows that due to the expected policy benefits from the Politburo meeting around mid - July, the macro - atmosphere has warmed up, leading to a rebound in EG prices. The closing price of the EG main contract was 4325 yuan/ton (+42 yuan/ton, +0.98% compared to the previous trading day), and the EG spot price in the East China market was 4386 yuan/ton (+38 yuan/ton, +0.87% compared to the previous trading day). The EG spot basis in East China was 70 yuan/ton (down 1 yuan/ton month - on - month) [1]. - The ethylene - based EG production profit was - 64 dollars/ton (down 1 dollar/ton month - on - month), and the coal - based syngas EG production profit was 10 yuan/ton (up 2 yuan/ton month - on - month) [1]. - According to CCF data, the MEG inventory at the main ports in East China was 58.0 tons (up 3.5 tons month - on - month); according to Longzhong data, it was 48.1 tons (down 6.1 tons month - on - month). The actual arrival at the main ports last week was 10.6 tons, with inventory reduction. This week, the planned arrival at the main ports in East China is 10.6 tons, and there is still pressure for inventory to rise with the return of imports [1]. - On the supply side, domestic supply is gradually recovering, and the short - term supply - demand structure is still good. However, after the cancellation of warehouse receipts, the available spot in the market will increase. Overseas supply is expected to be loose as overseas plants are gradually restarting, with concentrated arrivals of foreign ships at the beginning of July. On the demand side, the current situation is strong, but several major bottle - chip manufacturers have concentrated maintenance plans, so the demand is expected to be weak [2]. 3. Summary by Directory Price and Basis - The closing price of the EG main contract was 4325 yuan/ton (+42 yuan/ton, +0.98% compared to the previous trading day), and the EG spot price in the East China market was 4386 yuan/ton (+38 yuan/ton, +0.87% compared to the previous trading day). The EG spot basis in East China was 70 yuan/ton (down 1 yuan/ton month - on - month) [1] Production Profit and Operating Rate - The ethylene - based EG production profit was - 64 dollars/ton (down 1 dollar/ton month - on - month), and the coal - based syngas EG production profit was 10 yuan/ton (up 2 yuan/ton month - on - month) [1] International Spread - No specific data provided in the given text Downstream Sales, Production and Operating Rate - No specific data provided in the given text Inventory Data - According to CCF data, the MEG inventory at the main ports in East China was 58.0 tons (up 3.5 tons month - on - month); according to Longzhong data, it was 48.1 tons (down 6.1 tons month - on - month). The actual arrival at the main ports last week was 10.6 tons, with inventory reduction. This week, the planned arrival at the main ports in East China is 10.6 tons [1]