(China Glass Network) Recently, the prices of float glass across the country fall sharply caused by dull sale. According to CHEM99, the price in Shahe, Hebei has fall down about 6yuan per standard case, and prices in other cities also fall down about 4yuan. Some companies have adopted “advance delivery, month-end closing” policy to tackle the tough situation. In a word, now the market of float glass is in a downturn and the stock is high.
There are three reasons for above situation: 1.Affected by the national macroeconomic regulation and control policy, final demand of float glass is quite low; 2. Supply exceeds demand and a wave of new production capacity increases in the locality; 3. The rainy season in the north is coming soon. Most clients are taking a wait-and-see attitude toward the market and their purchasing desire is not strong.
As prices of raw materials of glass, such as soda, heavy oil and coal, are rising lightly, some glass producers are facing awkward situations of zero profit. CHEM 99 predicts that in May, the demand of glass will not increase but the price of glass will not drop too much due to high production cost.
