So far, there are 64 people dead; a total of 604 people injured in the hospital, including 19 in critical condition and 98 seriously wounded in the explosion at the Xiangshui industrial park.
We extend our deep condolences and mourning to the victims of this disaster and wish all the victims rest in peace.
In view with this tragedy, China’s agricultural chemical market will change again, now, we briefly analyze China’s market as follows:
1. Market before the explosion: Market was getting weak and trading not strong and all customers are still in wait-and-see stage, fewer orders and, though some products is still sitting at a high prices, but still has room to fall further.. In a word, market including price and supplies is stable with a downward trend.
2. Market after the explosion:
1) The direct impact:
A. The accident industry park was shut down, maybe it will be permanently shut down.
B. Main products with big factories at the accident industry park as follows:
Acrylic acid series
4,4-Diaminodiphenyl methane / DDM
Obviously, the supply of above goods will be short and prices will be going up.
2) The indirect effect:
A. All chemical industry parks in Jiangsu province were forced to stop production to do thorough safety inspection and no one know how long it will take to start production.
B. All enterprises in China involved in Chemical including trade companies must be checked and do safety training. You can imagine how strict environmental protection safe producing will be in the future.
C. In view with shortage of products in the accident industry park, the demand for other products will be going up highly, while, supplies can not meet because of environmental protection policy.
In a word, because of above accident, market demand is up and supplies is limited; So, we forcast that China pesticide market’s prices, as well as supply, will be returned to 2018’s situation, even more worse as follows:
A.. Many products’ prices will be going up.
B. Supplies are shorter.
3. Now, we are checking supplies and price for all products you involved and will reply to you later one by one and give you weekly update information accordingly.