Report Information - Report Title: Pure Benzene - Styrene Risk Management Daily Report - Date: October 31, 2025 - Analyst: Dai Yifan (Investment Consulting License No.: Z0015428) [2] Price Forecast - Pure Benzene Price Range (Monthly): 5,200 - 5,800 yuan/ton [3] - Styrene Price Range (Monthly): 6,200 - 6,800 yuan/ton [3] - Styrene Current Volatility (20 - day rolling): 16.41% [3] - Styrene Current Volatility Historical Percentile (3 - year): 85.8% [3] Hedging Strategies Inventory Management - Strategy 1: Short styrene futures (EB2512) to lock in profits and make up for production costs, with a hedging ratio of 25% and an entry range of 6,550 - 6,600 yuan/ton [3] - Strategy 2: Sell call options (EB2512C6600) to collect premiums and reduce capital costs, with a hedging ratio of 50% and an entry range of 65 - 90 [3] Procurement Management - Strategy 1: Buy styrene futures (EB2512) to lock in procurement costs in advance, with a hedging ratio of 50% and an entry range of 6,350 - 6,400 yuan/ton [3] - Strategy 2: Sell put options (EB2512P6400) to collect premiums and reduce procurement costs, with a hedging ratio of 75% and an entry range of 70 - 90 [3] Core Contradictions Pure Benzene - Sanctions on some Chinese refineries by the US, UK, and EU have affected pure benzene production. After adjusting the supply forecast, pure benzene is expected to accumulate inventory in Q4 [4] - In October, pure benzene imports were low in the first half and are expected to increase in late - October to early - November, leading to port inventory accumulation [4] - High supply and weak demand (downstream production and maintenance co - exist, and the peak season may not be prosperous) will keep the inventory accumulation pattern unchanged, and pure benzene is expected to be weak [4] Styrene - 1.2 million tons of new capacity has been put into production, and supply will increase after stable operation [4] - Although the balance sheet shows de - stocking in Q4, high inventory and expected inventory accumulation in Q1 next year pose great de - stocking pressure [4] - With many important domestic and international meetings, there are both long and short factors for energy and chemical products. Pure benzene and styrene lack upward momentum and are sensitive to macro trends and crude oil prices [4] Bullish Factors - Five - department plan to improve the urban business environment [5] - Shutdowns of some styrene plants in Tianjin and Guangdong due to equipment problems [5] - US - China trade talks result in the cancellation or suspension of some sanctions [7][4] Bearish Factors - Slow de - stocking of styrene in Jiangsu ports as of October 27, 2025, with 19.3 tons of inventory [8] - Production cuts of downstream ABS and possible delay of new ABS plant operation [8] Basis and Spread Changes Basis Changes - Pure benzene basis in East China decreased significantly on October 31, 2025, compared with the previous day [9] - Styrene basis in East China also decreased on October 31, 2025, compared with the previous day [9] Spread Changes - Pure benzene and styrene paper - cargo spreads and other spreads showed various changes on October 31, 2025, compared with the previous day [10] Industry Chain Prices - Brent crude oil price remained at 64.03 dollars/barrel on October 31, 2025 [10] - Pure benzene and styrene prices in different markets and futures contracts had different changes on October 31, 2025, compared with the previous day and the previous week [10][11] - Profits in the pure benzene - styrene industry chain also showed different trends [11]

Report Summary 1. Report Industry Investment Rating No information provided. 2. Core Viewpoints - The supply of pure benzene is expected to remain high in the fourth quarter, while the demand is weak, leading to a difficult - to - change inventory accumulation pattern. The supply of styrene is tightening due to increased device maintenance, and it is expected to increase in mid - to - late October when new device production is realized. From September to November, styrene will maintain a tight balance, but its upward space is limited. In the short term, it will mainly follow crude oil fluctuations, and a wait - and - see approach is recommended for single - sided trading. One can consider widening the price spread between pure benzene and styrene when the price is low [4]. - Macro factors such as the "anti - involution", the Fourth Plenary Session in October, and the 14th Five - Year Plan outline need to be monitored. In the absence of obvious fundamental drivers, macro sentiment will affect the market [4]. 3. Summary by Relevant Catalogs 3.1 Price Forecast and Hedging Strategies - **Price Forecast**: The monthly price range for pure benzene is predicted to be between 5,600 and 6,200 yuan/ton, and for styrene, it is between 6,600 and 7,200 yuan/ton. The current 20 - day rolling volatility of styrene is 29.40%, and its historical percentile over three years is 85.8% [3]. - **Hedging Strategies**: - **Inventory Management**: For enterprises with high finished - product inventory, they can short styrene futures (EB2511) with a 25% hedging ratio at an entry range of 6,850 - 6,950 yuan/ton. They can also sell call options (EB2511C7000) with a 50% ratio at a premium range of 45 - 60 to reduce costs and lock in the selling price if styrene prices rise [3]. - **Procurement Management**: For enterprises with low regular procurement inventory, they can buy styrene futures (EB2511) with a 50% hedging ratio at an entry range of 6,700 - 6,750 yuan/ton. They can also sell put options (EB2511P6800) with a 75% ratio at a premium range of 120 - 140 to reduce procurement costs and lock in the purchase price if styrene prices fall [3]. 3.2 Core Contradictions and Market Analysis - **Pure Benzene**: In the fourth quarter, the overall maintenance loss of pure benzene is not high, small long - shut devices plan to resume production, and there are import transactions from Europe to China. On the demand side, downstream production and maintenance coexist, and the peak season is likely to be weak this year, so the high supply cannot be digested, and the inventory accumulation pattern is difficult to change [4]. - **Styrene**: Device maintenance has increased, and the supply has tightened. New device production is expected to increase supply in mid - to - late October. From September to November, it will maintain a tight balance, but high inventory and the drag from upstream pure benzene limit its upward space [4]. 3.3利多 and利空 Factors - **利多 Factors**: As of October 9, the port inventory of pure benzene in Jiangsu decreased by 1.5 million tons compared to the previous period, a month - on - month decline of 33.7%. Multiple styrene devices, including Jingbosi D睿, Anhui Jiaxi, and Lianyungang Petrochemical, plan to shut down for maintenance, making it difficult to further compress the price spread between pure benzene and styrene [4]. - **利空 Factors**: As of October 9, the port sample inventory of styrene in Jiangsu increased by 0.44 million tons compared to the previous period, an increase of 2.23%. Some devices of Zhejiang Petrochemical have restarted as planned, offsetting part of the new maintenance losses. Two large - scale styrene devices of Jilin Petrochemical and Guangxi Petrochemical are planned to be put into production in the fourth quarter [7]. 3.4 Basis and Price Spread Changes - **Basis Changes**: The basis of pure benzene and styrene in the East China market has changed compared to the previous period. For example, the basis of East China - BZ03 for pure benzene decreased from 60 to - 13, a decrease of 73 [8]. - **Price Spread Changes**: The price spreads of pure benzene, styrene, and the pure benzene - styrene industry chain have changed. For example, the price spread between styrene spot and pure benzene spot increased from 1,035 to 1,075 yuan/ton, an increase of 40 yuan/ton [8]. 3.5 Price and Profit Data - **Price Data**: The prices of various products in the pure benzene - styrene industry chain have changed. For example, the price of Brent crude oil on October 9 was 66.08 US dollars/barrel, and the price of pure benzene in the East China market was 5,750 yuan/ton, a decrease of 110 yuan/ton compared to the previous period [9]. - **Profit Data**: The production profits of pure benzene and the profits of downstream products of styrene have also changed. For example, the production profit of pure benzene increased from 173 to 314 yuan/ton, an increase of 141 yuan/ton [9].

Report Summary 1. Report Industry Investment Rating No information provided. 2. Core Viewpoints - The near - term pure benzene inventory has shifted from accumulation to depletion, and new downstream production news has strengthened the expectation of improved future demand for pure benzene, which is in a transition from weak reality to strong expectation. In contrast, styrene has seen significant port inventory accumulation, with downstream industrial giants actively selling near - term and buying far - term contracts. The near - term spot liquidity has recovered, and the basis in late July has rapidly weakened. The styrene supply - demand pattern has weakened due to the off - season of terminal demand, with only rigid demand support from 3S for styrene. However, recently, influenced by old device inspections and anti - involution macro trends, the overall sentiment of commodities has been positive, and the pure benzene and styrene futures have followed the strong performance of coking coal and coke [4]. 3. Summary by Relevant Content 3.1 Price Forecast and Hedging Strategies - **Price Forecast**: The monthly price forecast for pure benzene is 5,800 - 6,400 yuan/ton, and for styrene is 7,000 - 7,600 yuan/ton. The current 20 - day rolling volatility of styrene is 29.40%, and its historical percentile over 3 years is 85.8% [3]. - **Hedging Strategies**: - **Inventory Management**: For enterprises with high finished - product inventory worried about styrene price decline, they can short styrene futures (EB2509, sell, 25%, entry range: 7,450 - 7,500 yuan/ton) to lock in profits and cover production costs. They can also sell call options (EB2509C7600, sell, 50%, entry range: 120 - 150 yuan) to collect premiums and reduce capital costs, and lock in the spot selling price if styrene prices rise [3]. - **Procurement Management**: For enterprises with low regular inventory and planning to purchase based on orders, they can buy styrene futures (EB2509, buy, 50%, entry range: 7,250 - 7,300 yuan/ton) to lock in procurement costs in advance. They can also sell put options (EB2509P7300, sell, 75%, entry range: 90 - 120 yuan) to collect premiums and reduce procurement costs, and lock in the spot purchase price if styrene prices fall [3]. 3.2 Fundamental Analysis - **Pure Benzene**: The near - term inventory has changed from accumulation to depletion, and downstream new production news has strengthened the expectation of future demand improvement. There are also positive factors such as production reduction due to equipment problems at Shenghong and Zhejiang Petrochemical [4][5][7]. - **Styrene**: The port has seen significant inventory accumulation, downstream industrial giants are actively selling near - term and buying far - term contracts, and the near - term spot liquidity has recovered. The basis in late July has rapidly weakened. It is the off - season of terminal demand, with only rigid demand support from 3S, and the supply - demand pattern has weakened. As of July 21, the styrene inventory at Jiangsu ports was 15.07 tons, an increase of 1.22 tons (+8.81%) from the previous period [4][8]. 3.3 Market Data - **Basis Changes**: The basis of pure benzene and styrene has changed. For example, the basis of East China - BZ03 for pure benzene on July 22 was - 258, a decrease of 27 from July 21; the basis of East China - EB07 for styrene on July 22 was 98, a decrease of 162 from July 21 [9]. - **Price Changes**: The prices of pure benzene and styrene and related products have changed. For example, BZ2603 of pure benzene increased by 37 yuan/ton from July 21 to July 22, and EB2507 of styrene increased by 87 yuan/ton [11][12]. - **Spread Changes**: The spreads in the pure benzene - styrene industry chain have changed. For example, the spread between styrene spot and pure benzene spot decreased by 60 yuan/ton from July 21 to July 22 [10].

Report Summary 1. Report Industry Investment Rating - Not provided in the given content 2. Core Viewpoints - Fundamentally, the pattern of near - term strength and long - term weakness in styrene remains unchanged, but recent futures prices are greatly affected by macro factors. It is recommended to wait and see, and it is more prudent to enter short positions after the macro situation stabilizes [3] 3. Summaries by Relevant Catalogs 3.1 Styrene Price Range Forecast - The monthly price range forecast for styrene is 6800 - 7600 yuan/ton, with a current 20 - day rolling volatility of 29.40% and a 3 - year historical percentile of 85.8% [2] 3.2 Styrene Hedging Strategy - **Inventory Management**: For high finished - product inventory, to prevent inventory depreciation, short 25% of styrene futures (EB2508) at 7400 - 7300 yuan/ton; sell 50% of call options (EB2508C7500) at 90 - 200 to collect premiums and lock in the spot selling price if styrene rises [2] - **Procurement Management**: For low procurement inventory, to prevent cost increases, buy 50% of styrene futures (EB2508) at 7150 - 7250 yuan/ton; sell 75% of put options (EB2508P7100) at 110 - 150 to collect premiums and lock in the spot purchase price if styrene falls [2] 3.3 Core Contradictions - The near - term strength and long - term weakness pattern of styrene fundamentals remains, but the futures price is significantly affected by macro factors. It is advisable to wait and enter short positions after the macro situation stabilizes [3] 3.4利多解读 (Likely Positive Factors) - Geopolitical unrest causes oil price fluctuations; approaching the June paper - cargo delivery, the near - term basis of styrene is firm [4] 3.5利空解读 (Likely Negative Factors) - As of June 23, Jiangsu's pure benzene port inventory was 17.1 tons, a 11.76% MoM increase; styrene port inventory was 8.5 tons, a 28.21% MoM increase. The port inventories of both pure benzene and styrene increased this week [4] - The previously shut - down pure benzene and styrene plants are gradually resuming production, and the peak maintenance period has passed. The maintenance plans of some pure benzene plants originally scheduled for early July have been postponed, leading to a continuous increase in near - term supply [4] - The US Department of Commerce announced on June 12 that a 50% import tariff on household appliances containing steel parts would be imposed from June 23, pressuring the terminal demand for styrene [4] 3.6 Styrene Basis and Industrial Chain Spreads - Data shows the basis differences between different regions and futures contracts of styrene and the spreads in the pure benzene - styrene industrial chain on June 24 and June 23 [6] 3.7 Styrene Daily Report - Industrial Chain Prices - Presents the prices of various products in the styrene industrial chain on June 24, June 23, and June 17, including Brent crude oil, naphtha, pure benzene, styrene, and related downstream products, along with their daily changes [6][7]

Group 1: Report Industry Investment Rating - No relevant information provided Group 2: Core View of the Report - Fundamentally, the pattern of strong near - term and weak long - term for styrene remains unchanged, but recent market prices are greatly affected by macro factors. It is recommended to wait and see, and it is more prudent to enter short positions after the macro situation stabilizes [3] Group 3: Summary by Relevant Catalogs Price Forecast and Hedging Strategies - The monthly price range forecast for styrene is 7000 - 7800 yuan, with a current 20 - day rolling volatility of 29.40% and a historical percentile of 85.8% over 3 years [2] - For inventory management with high finished - product inventory, to prevent inventory depreciation, short styrene futures (EB2508) at 25% hedging ratio in the 7600 - 7700 yuan range; sell call options (EB2508C750) at 50% hedging ratio in the 140 - 160 yuan range [2] - For procurement management with low regular inventory, to prevent rising procurement costs, buy styrene futures (EB2508) at 50% hedging ratio in the 7300 - 7400 yuan range; sell put options (EB2508P7300) at 75% hedging ratio in the 110 - 150 yuan range [2] Core Contradiction - The near - term and long - term strength pattern of styrene in the fundamentals remains unchanged, but the recent market price is highly influenced by macro factors. It is advisable to wait and enter short positions after the macro situation stabilizes [3] Bullish Factors - As of June 16, 2025, the styrene port inventory in Jiangsu was 6.63 tons, a decrease of 1.37 tons (-17.13%) from the previous period; as of June 12, 2025, the sample inventory of Chinese styrene factories was 18.46 tons, a decrease of 0.68 tons (-3.55%) from the previous period. The expected styrene arrivals in the next period are still low [4] - The intensifying geopolitical conflict in the Middle East has led to rising oil prices, driving up the price of styrene [4] - As the June paper - cargo delivery approaches, the near - end basis of styrene has strengthened again [7] - Macro - level benefits and downstream factory restocking have supported the rise in pure benzene prices. Sinopec has raised the listed price of pure benzene to 6400 yuan/ton [7] Bearish Factors - As of June 16, the pure benzene port inventory in Jiangsu was 15.3 tons, a 2.68% increase from the previous period. European pure benzene supplies are expected to arrive in mid - to late June, with high subsequent arrivals [8] - The previously shut - down units of pure benzene and styrene are gradually resuming operation, and the peak maintenance period has passed, with increasing supply [8] - The US Department of Commerce announced on June 12 that starting from June 23, a 50% import tariff will be imposed on household appliances containing steel components, putting pressure on the terminal demand for styrene [9] Price and Basis Changes - The daily changes in styrene basis are presented in the table, showing the differences between different regions and contract months [9] - The daily changes in the price spread of the pure benzene - styrene industrial chain are presented in the table, including the spreads between different time points and contracts [9] Industry Chain Prices - The prices of various products in the styrene industry chain, such as Brent crude oil, naphtha, ethylene, pure benzene, and styrene, and their changes from June 12 - 19, 2025 are presented in the table [9][10]

Report Summary Report Industry Investment Rating There is no information about the industry investment rating in the provided report. Core Viewpoints - This week, the second round of Sino-US economic and trade talks took place, causing significant macro-level disturbances to the market price, which trended upward with fluctuations. Based on current news, the positive impacts of this round of talks have mostly been realized, and styrene is gradually returning to its fundamental situation. Styrene port inventories remain relatively low, resulting in tight spot liquidity and a strong near-month basis. In the medium to long term, styrene supply is expected to recover while demand enters a slow season, presenting a pattern of near-term strength and long-term weakness [3]. Summary by Relevant Catalogs Price Forecast and Hedging Strategies - The monthly price forecast for styrene is in the range of 6,800 - 7,600 yuan/ton, with a current 20-day rolling volatility of 29.40% and a historical percentile (3-year) of 85.8% [2]. - For inventory management, when the finished product inventory is high and there are concerns about styrene price drops, it is recommended to short styrene futures (EB2507) with a 25% hedging ratio at an entry range of 7,350 - 7,450 yuan/ton. Additionally, selling call options (EB2507C7500) with a 50% ratio at a range of 60 - 90 can reduce capital costs and lock in the spot selling price if the price rises [2]. - For procurement management, when the regular inventory for procurement is low and purchases are to be made based on orders, it is advisable to buy styrene futures (EB2507) with a 50% hedging ratio at an entry range of 7,100 - 7,200 yuan/ton. Selling put options (EB2507P7200) with a 75% ratio at a range of 30 - 50 can reduce procurement costs and lock in the spot purchase price if the price drops [2]. Core Contradictions - The market price is greatly affected by macro factors during the Sino-US economic and trade talks, but styrene is gradually reverting to its fundamentals. Port inventories are low, spot liquidity is tight, and the near-month basis is strong. In the long run, supply will recover and demand will enter a slow season, showing a near-strong and far-weak pattern [3]. Positive Factors - As of June 9, 2025, the styrene port inventory in Jiangsu was 80,000 tons, a decrease of 9,100 tons (-10.21%) from the previous period, indicating another round of destocking at the port [4]. - The raw material inventory of downstream styrene factories is low, and the restocking demand provides some support for the styrene price, with a strong basis for the June contract [4]. - Supported by macro-level positives and restocking by downstream factories, the price of pure benzene has risen. This week, Sinopec raised the listed price of pure benzene to 6,000 yuan/ton [8]. Negative Factors - As of June 9, the pure benzene port inventory in Jiangsu was 149,000 tons, a month-on-month increase of 2.76%. European supplies are expected to arrive in mid to late June, and the import volume of pure benzene in June is still expected to be high [9]. - The previously shut-down units of pure benzene and styrene are gradually resuming operation, and the peak maintenance period has passed, leading to an increase in supply [9]. - There is news that the US has lifted restrictions on ethane exports, alleviating the supply contradiction at the raw material end [9]. - As of June 5, 2025, the sample inventory of Chinese styrene factories was 191,400 tons, an increase of 20,800 tons (12.16%) from the previous period [9]. Market Data - The daily change in the styrene basis shows different trends for different contracts, with some increasing and some decreasing [10]. - The prices of various products in the styrene and pure benzene industrial chains, including crude oil, naphtha, ethylene, pure benzene, and styrene, have different degrees of change compared to the previous day and the previous week [11][12]. - The profits of different products in the styrene downstream industry, such as EPS, HIPS, GPPS, and ABS, also show different trends [12].

Group 1: Report Industry Investment Rating - No relevant content provided Group 2: Core Views - Tariff cuts and emergency plant shutdowns have led to the valuation repair of styrene, with the styrene-pure benzene spread widening to a new high for the year. Driven by profits, some maintenance plants have returned ahead of schedule, and there is an expectation of increased supply. However, it will take time for the increased supply to result in port inventory accumulation. Currently, the May styrene paper cargo is at the end of the delivery period, and the short-covering demand of short sellers has strongly supported the May basis. In the short term, prices are supported, but in the medium to long term, styrene is about to enter the off-season of demand, and prices are expected to decline [3]. Group 3: Summary by Relevant Catalogs Price Forecast - The monthly price forecast for styrene is in the range of 7,000 - 7,800 yuan/ton. The current 20-day rolling volatility is 29.64%, and the historical percentile of the current volatility over the past three years is 85.5% [2]. Hedging Strategies - **Inventory Management**: For enterprises with high finished product inventory worried about styrene price drops, they can short styrene futures (EB2507) with a 25% hedging ratio and enter the market at 7,200 - 7,300 yuan/ton. They can also sell call options (EB2507C7400) with a 50% hedging ratio and enter at 80 - 110 yuan [2]. - **Procurement Management**: For enterprises with low regular inventory and aiming to purchase based on orders, they can buy styrene futures (EB2507) with a 50% hedging ratio and enter the market at 7,050 - 7,150 yuan/ton. They can also sell put options (EB2507P7000) with a 75% hedging ratio and enter at 90 - 120 yuan [2]. Core Contradictions - Tariff cuts and emergency plant shutdowns have led to styrene valuation repair, and the styrene-pure benzene spread has widened to a new high for the year. Driven by profits, some maintenance plants have returned ahead of schedule, increasing supply. However, it will take time for the increased supply to lead to port inventory accumulation. Currently, the May styrene paper cargo is at the end of the delivery period, and short-covering demand has strongly supported the May basis. In the short term, prices are supported, but in the medium to long term, styrene is about to enter the off-season of demand, and prices are expected to decline [3]. Bullish Factors - As of May 22, 2025, the sample inventory of Chinese styrene factories was 186,400 tons, a decrease of 26,200 tons from the previous period, a month-on-month decrease of 12.32%, indicating a significant decline in factory inventory [4]. - The raw material inventory of current styrene downstream factories is low, and the replenishment demand provides some support for styrene prices [5]. Bearish Factors - As of May 26, the port inventory of pure benzene in Jiangsu was 143,000 tons, a month-on-month increase of 11.72%. Starting from late May, previously traded European pure benzene has been arriving in Asia, and there are recent market rumors of new European-Asian pure benzene orders, so the subsequent import volume of pure benzene is expected to remain high [5]. - The downstream demand for pure benzene continues to deteriorate, and many downstream plants have planned maintenance in May and June, resulting in a continuous oversupply of pure benzene [7]. - As of May 26, 2025, the port inventory of styrene in Jiangsu was 74,600 tons, an increase of 14,700 tons from the previous period, a 44.19% increase [7]. - The 450,000-ton styrene plant of Shenghong and the 720,000-ton styrene plant of Li Huayi are planned to restart soon, increasing styrene supply [7]. - Styrene is gradually entering the off-season of demand [7]. Price and Spread Data - Various price and spread data for styrene, pure benzene, and related products on May 27, 2025, compared with previous days, including paper cargo prices, spot prices, basis, and production margins, are provided in detail [9][10][11].

Report Industry Investment Rating - Not provided in the content Core Viewpoints - In the short term, the macro - atmosphere has improved, and with unplanned maintenance, the futures market has rapidly rebounded. In the medium - to - long - term, the price of styrene is still dragged down by pure benzene and is expected to decline. The future market trend depends on whether there is a substantial improvement in the downstream demand for pure benzene and styrene after the tariff reduction, and whether there are new export orders for textile and clothing (end - products of caprolactam) and white goods (end - products of styrene). It also depends on the improvement of gasoline blending demand in the US and the impact of the shutdown and production cuts of its disproportionation units on China's pure benzene imports [3] Summaries by Related Catalogs Price Forecast and Hedging Strategies - The monthly price range forecast for styrene is 7400 - 8000 yuan/ton, with a current 20 - day rolling volatility of 35.25% and a 3 - year historical percentile of 94.8% [2] - For inventory management when product inventory is high and worried about price decline, it is recommended to short styrene futures (EB2507) with a 25% hedging ratio at an entry range of 7600 - 7700 yuan/ton, and sell call options (EB2507C8000) with a 50% hedging ratio at a range of 80 - 120 [2] - For procurement management when the regular inventory is low and aiming to purchase according to orders, it is recommended to buy styrene futures (EB2507) with a 50% hedging ratio at an entry range of 7450 - 7550 yuan/ton, and sell put options (EB2507P7000) with a 75% hedging ratio at a range of 50 - 80 [2] Core Contradictions - The short - term upward movement of styrene is due to improved macro - atmosphere and unplanned maintenance, while the long - term downward pressure comes from pure benzene. Future trends depend on downstream demand improvement after tariff reduction and the situation of US gasoline blending demand and its impact on pure benzene imports [3] 利多解读 - As of May 12, 2025, the styrene port inventory in Jiangsu was 5.67 tons, a decrease of 1.18 tons (-17.23%) from the previous period, indicating continuous inventory drawdown and tightened spot liquidity [4] - The smooth progress of the China - US economic and trade high - level talks and the significant tariff reduction in the first - round consultation have improved market sentiment [4] - On Tuesday, Hengli's cracking unit had a sudden failure, leading to the early maintenance of its 720,000 - ton styrene unit for a month, intensifying the shortage of styrene. There are also rumors that Zhejiang Petrochemical's styrene unit may start maintenance a few days earlier [4] 利空解读 - A large amount of European pure benzene is expected to arrive in Northeast Asia from late May, and the pure benzene imports from May to June are expected to remain high [7] - The downstream demand for pure benzene continues to deteriorate, with many units of caprolactam and aniline in downstream industries planning maintenance in May, leading to a continuous oversupply of pure benzene [7] - The invisible inventory in the benzene industry chain remains high [7] - The downstream 3S products have limited price - increasing power, and there is no obvious improvement in terminal orders after the tariff reduction, resulting in limited enthusiasm for purchasing raw materials [8] Styrene Basis and Price Changes - The basis of East China - EB05 decreased from 43 to 39 yuan/ton, a daily decrease of 4 yuan/ton; the basis of East China - EB06 increased from 251 to 329 yuan/ton, a daily increase of 78 yuan/ton; the basis of East China - EB07 increased from 413 to 486 yuan/ton, a daily increase of 73 yuan/ton; the basis of East China - EB08 increased from 530 to 598 yuan/ton, a daily increase of 68 yuan/ton [8] - The prices of various products in the styrene and related industries on May 16, 2025, showed different changes compared with the previous day and the previous week, such as the price of pure benzene in the East China market decreased by 120 yuan/ton compared with the previous day, and the price of styrene in the East China market decreased by 40 yuan/ton compared with the previous day [9][10]