Group 1: Report Overview - Report Name: Yongan Synthetic Rubber Morning Report [2] - Research Team: Research Center Energy and Chemicals Team [3] - Report Date: August 13, 2025 [3] Group 2: BR (Butadiene Rubber) Data 1. Futures Contract Data - Main contract closing price on August 12 was 11,825, with a daily change of 40 and a weekly change of 310 [4] - Main contract open interest on August 12 was 26,687, with a daily change of -1,401 and a weekly change of -3,745 [4] - Main contract trading volume on August 12 was 60,045, with a daily change of -78,270 and a weekly change of 6,100 [4] 2. Warehouse Receipt and Ratio Data - Warehouse receipt quantity on August 12 was 0, with a daily change of -10,470 and a weekly change of -10,540 [4] - The virtual - real ratio on August 12 had a DIV/0! error [4] 3. Basis and Spread Data - Butadiene basis on August 12 was -75, with a daily change of 10 and a weekly change of -160 [4] - Butadiene basis (Two - oil) on August 12 was -125, with a daily change of -40 and a weekly change of -110 [4] - Styrene - butadiene basis on August 12 was 425, with a daily change of 60 and a weekly change of -60 [4] - 8 - 9 month spread on August 12 was -5, with a daily change of -15 and a weekly change of -5 [4] - 9 - 10 month spread on August 12 was 5, with a daily change of 5 and a weekly change of 10 [4] 4. Price and Profit Data - Shandong market price on August 12 was 11,750, with a daily change of 50 and a weekly change of 150 [4] - Chuanhua market price on August 12 was 11,700, with a daily change of 0 and a weekly change of 200 [4] - Qilu ex - factory price on August 12 was 11,700, with a daily change of 0 and a weekly change of 200 [4] - CFR Northeast Asia on August 12 was 1,450, with a daily change of 0 and a weekly change of 0 [4] - CFR Southeast Asia on August 12 was 1,735, with a daily change of -15 and a weekly change of -15 [4] - Spot processing profit on August 12 was -79, with a daily change of 111 and a weekly change of -18 [4] - Futures processing profit on August 12 was -4, with a daily change of 101 and a weekly change of 142 [4] - Import profit on August 12 was -83,803, with a daily change of 45 and a weekly change of -1,536 [4] - Export profit on August 12 was -452, with a daily change of -43 and a weekly change of -124 [4] Group 3: BD (Butadiene) Data 1. Price Data - Shandong market price on August 12 was 9,440, with a daily change of -60 and a weekly change of 140 [4] - Jiangsu market price on August 12 was 9,350, with a daily change of -50 and a weekly change of 100 [4] - Yangzi ex - factory price on August 12 was 9,400, with a daily change of 0 and a weekly change of 200 [4] - CFR China on August 12 was 1,070, with a daily change of 0 and a weekly change of -10 [4] 2. Profit Data - Carbon four extraction profit data for August 12 was N/A [4] - Butene oxidative dehydrogenation profit on August 12 was 256, with a daily change of -50 and a weekly change of 30 [4] - Import profit on August 12 was 508, with a daily change of -20 and a weekly change of 175 [4] - Export profit on August 12 was -1,096, with a daily change of 44 and a weekly change of 61 [4] 3. Downstream Profit Data - Butadiene rubber production profit on August 12 was -4, with a daily change of 101 and a weekly change of 142 [4] - Styrene - butadiene rubber production profit on August 12 was 750, with a daily change of 0 and a weekly change of 25 [4] - ABS production profit data for August 12 was N/A [4] - SBS (791 - H) production profit on August 12 was 1,160, with a daily change of 200 and a weekly change of 30 [4] Group 4: Spread Data 1. Inter - variety Spread - The difference between Thai mixed rubber and butadiene rubber on August 12 was 2,870, with a daily change of -10 and a weekly change of 150 [4] - The difference between 3L rubber and styrene - butadiene rubber on August 12 was 2,600, with a daily change of -100 and a weekly change of -50 [4] - The difference between RU and BR on August 12 was -10,827, with a daily change of 1,200 and a weekly change of 5,060 [4] - The difference between NR and BR on August 12 was -14,022, with a daily change of 1,446 and a weekly change of 4,110 [4] 2. Intra - variety Spread - The difference between standard and non - standard butadiene rubber on August 12 was 200, with a daily change of 50 and a weekly change of -50 [4] - The difference between styrene - butadiene 1502 and 1712 on August 12 was 1,000, with a daily change of 50 and a weekly change of -150 [4]

1. Report's Industry Investment Rating - No relevant content provided 2. Core View of the Report - No explicit core view is presented in the given content. The report mainly provides data on the synthetic rubber market, including prices, trading volumes, inventories, and profit margins. 3. Summary by Related Catalogs 3.1 BR (High - Cis Polybutadiene Rubber) - **Trading Data**: On July 31, the closing price of the main contract was 11,495, down 280 from the previous day and 790 from the beginning of the week; the position volume was 34,820, a decrease of 4,870 from the previous day and 14,008 from the beginning of the week; the trading volume was 93,023, down 7,369 from the previous day and 55,619 from the beginning of the week [3]. - **Warehouse Receipts and Virtual - to - Real Ratio**: The number of warehouse receipts was 10,340, an increase of 150 from the previous day and 500 from the beginning of the week; the virtual - to - real ratio was 16.84, down 3 from the previous day and 8 from the beginning of the week [3]. - **Basis and Spread**: The high - cis basis was 205, up 180 from the previous day and 390 from the beginning of the week; the high - cis basis (two major oil companies) was 305, down 20 from the previous day but up 390 from the beginning of the week; the styrene - butadiene basis was 425, up 130 from the previous day and 640 from the beginning of the week; the 8 - 9 spread was - 50, up 205 from the previous day and 180 from the beginning of the week; the 9 - 10 spread was 15, down 10 from the previous day and 25 from the beginning of the week [3]. - **Spot Prices**: The Shandong market price was 11,700, down 100 from the previous day and 400 from the beginning of the week; the Transfar market price was 11,450, down 350 from the previous day and 450 from the beginning of the week; the Qilu Petrochemical ex - factory price was 11,800, down 300 from the previous day and 400 from the beginning of the week [3]. - **Processing and Import - Export Profits**: The spot processing profit was 167, up 2 from the previous day and 110 from the beginning of the week; the futures processing profit was - 38, down 178 from the previous day and 280 from the beginning of the week; the import profit was - 84,506, up 2,570 from the previous day and 2,534 from the beginning of the week; the export profit was - 245, up 63 from the previous day [3]. 3.2 BD (Butadiene) - **Spot Prices**: The Shandong market price was 9,150, down 100 from the previous day and 500 from the beginning of the week; the Jiangsu market price was 9,200, down 100 from the previous day and 450 from the beginning of the week; the Yangzi Petrochemical ex - factory price was 9,400, unchanged from the previous day and down 300 from the beginning of the week; the CFR China price was 1,090, unchanged from the previous day and down 10 from the beginning of the week [3]. - **Processing and Import - Export Profits**: The carbon - four extraction profit data was unavailable; the butene oxidative dehydrogenation profit was 176, down 100 from the previous day and 590 from the beginning of the week; the import profit was 210, down 79 from the previous day and 397 from the beginning of the week; the export profit was - 977, up 70 from the previous day and 485 from the beginning of the week [3]. 3.3 Downstream Profits - The high - cis production profit was - 38, down 178 from the previous day and 280 from the beginning of the week; the styrene - butadiene production profit was 725, down 200 from the previous day; the ABS production profit was 261, up 29 from the previous day and down 57 from the beginning of the week; the SBS (791 - H) production profit was 930, unchanged from the previous day and up 410 from the beginning of the week [3]. 3.4 Variety - to - Variety Spreads - RU - BR was - 20,260, up 4,485 from the previous day and 13,323 from the beginning of the week; NR - BR was - 22,545, up 4,570 from the previous day and 13,163 from the beginning of the week; the Thai mixed - high - cis spread was 2,550, down 200 from the previous day and 250 from the beginning of the week; the 3L - styrene - butadiene spread was 2,600, down 100 from the previous day and 250 from the beginning of the week [3]. 3.5 Intra - Variety Spreads - The high - cis standard - non - standard spread was 300, up 50 from the previous day and down 100 from the beginning of the week; the styrene - butadiene 1502 - 1712 spread was 1,150, up 50 from the previous day and 50 from the beginning of the week [3].

Report Information - Report Title: Yong'an Synthetic Rubber Morning Report [2] - Research Team: Research Center's Energy and Chemicals Team [3] - Report Date: July 22, 2025 [3] Core Data Summary BR (Butadiene Rubber) - **Price and Volume**: The closing price of the main contract was 11,995, up 275 from the previous day and 370 from the previous week; the trading volume was 87,016, down 3,349 from the previous day but up 12,030 from the previous week; the open interest was 14,993, down 2,221 from the previous day and 9,436 from the previous week; the warehouse receipt quantity was 9,700, unchanged from the previous day and up 500 from the previous week [4]. - **Basis and Spread**: The butadiene rubber basis (Shun - Ding) was -145, down 125 from the previous day and 170 from the previous week; the 8 - 9 spread was 25, unchanged from the previous day and up 5 from the previous week; the 9 - 10 spread was 25, down 5 from the previous day and unchanged from the previous week [4]. - **Market Price**: The Shandong market price was 11,850, up 150 from the previous day and 200 from the previous week; the Chuanhua market price was 11,800, up 200 from the previous day and 250 from the previous week; the Qilu ex - factory price was 12,000, up 300 from the previous day and 300 from the previous week [4]. - **Profit**: The spot processing profit was -372, down 233 from the previous day and 269 from the previous week; the futures processing profit was -227, down 108 from the previous day and 99 from the previous week; the import profit was -85,993, down 2,208 from the previous day and 2,358 from the previous week; the export profit was -733, down 138 from the previous day and 161 from the previous week [4]. BD (Butadiene) - **Market Price**: The Shandong market price was 9,825, up 375 from the previous day and 460 from the previous week; the Jiangsu market price was 9,600, up 150 from the previous day and 300 from the previous week; the Yangzi ex - factory price was 9,600, up 200 from the previous day and 300 from the previous week; the CFR China price was 1,050, unchanged from the previous day and down 20 from the previous week [4]. - **Profit**: The carbon four extraction profit was not available; the butene oxidative dehydrogenation profit was 646, up 150 from the previous day and 510 from the previous week; the import profit was 933, up 157 from the previous day and 451 from the previous week; the export profit was -1,468, down 136 from the previous day and 395 from the previous week [4]. Downstream Products - **Profit**: The butadiene rubber production profit was -227, down 108 from the previous day and 99 from the previous week; the styrene - butadiene rubber production profit was 525, down 50 from the previous day and 100 from the previous week; the ABS production profit was not available; the SBS production profit (791 - H) was 530, down 140 from the previous day and 180 from the previous week [4]. Variety Spreads - **Inter - Variety Spreads**: The RU - BR spread was -98, up 2,306 from the previous day and 9,971 from the previous week; the NR - BR spread was -2,243, up 2,296 from the previous day and 9,861 from the previous week; the Thai mixed - butadiene rubber spread was 2,720, down 80 from the previous day and up 220 from the previous week; the 3L - styrene - butadiene rubber spread was 2,500, down 150 from the previous day and unchanged from the previous week; the butadiene rubber standard - non - standard spread was 100, down 100 from the previous day and 100 from the previous week [4]. - **Intra - Variety Spreads**: The styrene - butadiene 1502 - 1712 spread was 1,100, down 100 from the previous day and 50 from the previous week [4].

Core Viewpoint - The development of the rubber industry at Lanzhou Petrochemical Company is a significant part of China's industrial history, showcasing the journey from inception to strength in the rubber sector, contributing to national industrial growth and defense construction [2][4]. Group 1: Historical Development - Lanzhou Petrochemical began its rubber industry journey in 1960, producing China's first synthetic rubber, breaking foreign technology barriers [4]. - In 1962, the company produced nitrile rubber to meet national defense needs, which played a crucial role in modernizing defense equipment due to its oil, wear, and heat resistance [4]. Group 2: Production Capacity and Innovations - In the 21st century, Lanzhou Petrochemical continued to enhance its rubber production, including the introduction of styrene-butadiene rubber production facilities from Japan in 2000 and expanding nitrile rubber capacity to 35,000 tons in 2020 [5][7]. - The current annual production capacity includes 150,000 tons of styrene-butadiene rubber and 100,000 tons of nitrile rubber, serving key industries such as automotive, machinery, and sports goods [7]. Group 3: Technological Innovation and Talent Development - The company emphasizes technological innovation as a driving force, establishing a "Five Rooms and One Hall" innovation platform to foster talent and solve production challenges [7][9]. - The rubber lecture hall serves as a training ground for new employees, accelerating the growth of young talent and ensuring sustainable development for the industry [9]. Group 4: Future Outlook - Moving forward, the company aims to align with national strategies, enhance technological innovation, optimize product structure, and strengthen core competitiveness while expanding domestic and international markets [9].

Core Viewpoint - The recent price increase of butadiene in China is driven by a combination of supply-demand dynamics, downstream demand recovery, policy benefits, and improved international trade conditions, indicating a systemic restructuring of the butadiene market [1][2]. Supply Dynamics - Sinopec raised the ex-factory price of butadiene to 11,100 yuan per ton, an increase of 800 yuan from the previous trading day, with prices in Shandong and East China reaching new highs in nearly five years [1]. - The current market shows a significant supply-demand imbalance, with a notable supply shortage due to maintenance of several production facilities, resulting in a monthly supply reduction of 50,000 tons [2]. - The unexpected shutdown rate of domestic butadiene facilities reached 12.7% in the first five months of this year, an increase of 4.3 percentage points compared to 2024, contributing to supply chain tightening [2]. Demand Dynamics - The downstream market for butadiene exhibits a dual trend, with traditional sectors like styrene-butadiene rubber and ABS resin facing production cuts due to cost pressures, while high-end applications see surging demand [3]. - In the automotive sector, the demand for hydrogenated nitrile butadiene rubber (HNBR) is increasing due to lightweight requirements, with specialized materials priced at 38,000 yuan, a premium of 120% over general materials [3]. - The aerospace materials sector is also experiencing over 30% growth in the application of specialty butadiene copolymers for seals and hoses [3]. Market Outlook - Analysts suggest that the primary driver of butadiene price increases in the short term is supply contraction, while the medium-term focus should be on the sustainability of downstream ABS capacity expansion [3]. - The rapid development of electric vehicles and smart home appliances is expected to continue boosting demand for ABS resin, further supporting the butadiene market [3].

Core Viewpoint - The strategic cooperation framework agreement between Huajin Amoco Petrochemical Co., Ltd. and Jinfeng Technology presents significant opportunities for collaboration in the petrochemical industry, focusing on material and energy supply, product sales, and technological innovation [1][2]. Group 1: Strategic Cooperation - Huajin Amoco Petrochemical Co., Ltd. (HAPCO) is a joint venture established on December 31, 2019, with a total investment of 83.7 billion yuan, focusing on a major refining and chemical project expected to generate over 100 billion yuan in annual sales revenue by 2025 [1]. - The proximity of Jinfeng Technology's bio-based materials project to HAPCO's operations enhances the potential for collaboration across various sectors, including logistics and production management [1]. Group 2: Jinfeng Technology's Operations - Jinfeng Technology, established on January 20, 2020, focuses on ABS resin, polyolefin products, and green petrochemical business, with a projected revenue of 7.285 billion yuan in 2024, reflecting a year-on-year growth of 15.62% [2]. - The company has an annual production capacity of 600,000 tons for ABS and PDH, and 260,000 tons for acrylonitrile, with a notable increase in new materials sales by 32.51% [2]. Group 3: Global Expansion - Jinfeng Technology has established nine production bases globally, including in Vietnam, India, and the United States, with ongoing projects in Mexico aimed at producing high-performance modified plastics [3]. - The Mexican project, covering 150,000 square meters, plans to produce 300,000 tons of high-performance plastics annually, targeting high-growth sectors such as automotive and electronics [3]. Group 4: Future Market Opportunities - In 2025, Jinfeng Technology aims to expand its market share by developing materials for emerging industries such as smart driving and humanoid robots, leveraging its existing technological advantages [4]. - The company is focusing on innovative applications of semi-aromatic polyamides and LCP materials in traditional markets while exploring new applications in the electric vehicle sector [5].

Core Viewpoint - The rapid growth of China's acrylonitrile industry is driven by both state-owned enterprises and private companies, with production capacity expected to continue expanding in 2024 due to upstream raw material growth and downstream demand [2]. Industry Capacity Growth - China's acrylonitrile production capacity increased from 2.355 million tons in 2019 to 4.399 million tons in 2023, with a projected capacity of approximately 4.839 million tons in 2024, representing a year-on-year increase of 10% [2]. Industry Definition and Classification - Acrylonitrile, with the chemical formula C3H3N, is a colorless liquid with a pungent odor, used primarily in the production of polyacrylonitrile fibers, ABS resin, and nitrile rubber [4]. Regulatory Framework - The main regulatory bodies for the acrylonitrile industry include the National Development and Reform Commission and the Ministry of Industry and Information Technology, which oversee policy formulation and implementation [6]. Industry Policies - Recent government policies aim to promote the development of the acrylonitrile industry, including the "Guiding Opinions on Promoting Green Innovation and High-Quality Development in the Refining Industry" released in October 2023, which encourages product structure adjustments and production technology upgrades [7][8]. Industry Barriers - The acrylonitrile industry faces several barriers, including: - **Technical Barriers**: The production process requires advanced technology and expertise, making it challenging for new entrants [10]. - **Market Barriers**: Established companies dominate the market, creating a competitive landscape that is difficult for newcomers to penetrate [11]. - **Financial Barriers**: High initial investment costs for production facilities and technology pose significant challenges for new entrants [12]. Industry Chain Analysis - The acrylonitrile industry chain consists of upstream raw materials (liquid ammonia, acetonitrile, propylene), midstream production, and downstream applications, with ABS becoming the largest demand sector due to growth in the automotive and home appliance industries [13].

Core Viewpoint - The successful commissioning of the 260,000 tons/year acrylonitrile project by Sinochem Quanzhou marks a significant upgrade in the company's production capabilities, focusing on high-value chemical products [1][2]. Group 1: Project Overview - The acrylonitrile project is a key initiative for Sinochem Quanzhou, leveraging raw material advantages from its integrated refining and chemical project [1]. - The project includes the construction of a 260,000 tons/year acrylonitrile (AN) unit, a 100,000 tons/year methyl methacrylate (MMA) unit, and a 200,000 tons/year spent acid regeneration (SAR) unit, with completion expected by November 30, 2024 [1]. Group 2: Product Significance - Acrylonitrile is a crucial monomer for synthetic fibers, synthetic rubber, and synthetic resins, serving as a core material for high-value products such as carbon fibers, ABS resins, and nitrile rubber, with applications in aerospace, new energy vehicles, electronics, and environmental management [2]. - Methyl methacrylate is an important organic chemical raw material used in the production of organic glass (PMMA), PVC additives (ACR), and various resins, adhesives, and coatings [2]. Group 3: Production Milestones - The acrylonitrile unit achieved successful initial feeding on April 10, 2025, with product quality meeting standards by April 13, 2025 [2]. - The MMA unit also passed rigorous inspections, confirming its status as a high-quality product by April 24, 2025, indicating the successful operation of the entire production line [2].