MEG market focus for March

Market focus could be on:

1. Integrated producers are gradually lower MEG output, but it will still take while before clear output reduction. Eyes could rest on the maintenance of Hengli and Satellite Petrochemical and the possible maintenance of other integrated producers.

2. Operation pressure on coal-based MEG producers-Eyes on coal prices and profit condition

3. Short term demand could not lend strong support for MEG. Polyester polymerization still high-focus on sales and inventories of polyester

4. MEG market in Mar-May: broadly balanced or slightly oversupplied, no clear direction guidance for uptrend or downtrend

Further downward room is limited and MEG prices are expected to see short-term rebound.