Core Viewpoint - The chemical industry is currently experiencing a downturn, leading to increased safety incidents in chemical parks, which may result in stricter regulations on high-risk chemical projects and production oversight [3]. Group 1: Impact of Recent Incidents - A major production safety accident occurred at Shandong Youdao Chemical Co., affecting the supply of chlorantraniliprole and its intermediates, with a market price of 305,000 yuan per ton as of June 20 [2]. - The recent fire at Jiangxi Yangfan's facility will impact the supply of intermediates for light initiators, indicating potential supply chain disruptions in the sector [4]. Group 2: Industry Outlook - The chemical industry is in a downcycle, with companies potentially reducing safety investments, leading to more frequent safety incidents [3]. - Leading companies in the chemical sector are expected to benefit from their stringent safety management processes and advanced production technologies, ensuring stable production amid regulatory challenges [3]. Group 3: Recommendations for Investment - Focus on leading companies in niche segments such as light initiators and nylon production, as industry concentration is expected to increase due to ongoing product upgrades and supply-demand optimization [4].