Commodity Index: On October 11, the Polyaluminium Chloride Commodity Index was 108.65, which was the same as yesterday. It was 0.33% lower than the highest point in the cycle of 109.01 points (2019-08-28), and 7.68% higher than the lowest point of 100.90 on April 09, 2019. (Note: Period refers to 2019-04-01 to date)

Price quotation: The mainstream manufacturers monitored by business associations, after the resumption of production in late September, prices have been relatively stable. After the National Day holiday, some manufacturers’prices have increased by about 10 yuan/ton. On Oct. 1, the mainstream price of domestic polyaluminium chloride market was about 2000 yuan/ton, and on Oct. 8, 2100 yuan/ton, a small increase of 0.5%, with little fluctuation. According to the monitoring data of the trade association (100ppi.com), the mainstream quotation in the domestic market of polyaluminium chloride is 1850-2200 yuan/ton for solid polyaluminium chloride (industrial grade, content (>28%) with tax, 350-500 yuan/ton for liquid (industrial grade, content 10-12%) with tax. After the highest price was raised during the suspension of production last month, some manufacturers have maintained the quotation level up to now, but Prices of most manufacturers have not changed much.

Industry chain: In early October, the price of hydrochloric acid in North China, which was monitored by business associations, dropped sharply after the end of National Day holidays. The mainstream market quotation was 166.67 yuan/ton on the 1st day, 156.37 yuan/ton on the 11th, with a decrease of 5.92%, and the lowest price was 153.33 yuan/ton during the period, with a decrease of about 8%. This month, the downstream demand for polyaluminium chloride is stable. At present, the production of polyaluminium chloride in Gongyi, Henan Province is normal, and the supply of goods is normal.

Industry: Since the end of July, the intermittent shutdown has basically ended, and manufacturers have started to resume production. The shutdown cycle has returned. In late July, the water purification and environmental protection enterprises of Yongan Road Street Office in Gongyi City, Henan Province, received the “shutdown notice” recently. The notice requests that: according to the analysis of the environmental pollution situation and future polluted weather conditions in the city, the city attack and strengthen the management of water purification and environmental protection enterprises require all depths. Governance enterprises will stop production before acceptance, and production can be restored after dispatching or acceptance. 2. Stop production again after resumption of production: resumption of production in August for 10 days and resumption of production on 15 days. According to the manufacturer, the suspension was more affected by the National Games held in Zhengzhou on 8 September. The local environmental protection inspection was strict. All local enterprises in Gongyi were asked to stop production for environmental protection management and maintenance. After the National Games on 8 September, the local factories did not receive the notice of start-up immediately, and strict environmental protection inspection was in progress. In late April and September, Gongyi local factories began to resume production one after another, and the supply of goods gradually returned to normal. In early May and October, the production of relevant factories was normal and the supply of goods was restored.

Future market forecast: Business association analysis shows that the current supply of goods is normal, downstream demand is stable, production costs have been reduced, pay attention to whether future cost changes will lead to price changes of polyaluminium chloride, the recent trend is still stable.