During the period, upstream propylene prices continued to rise, leading to an increase in the production cost of acrylonitrile. However, the decline in acrylonitrile prices widened, resulting in a significant intensification of production losses this week. According to statistics, as of January 8, the average production cost of acrylonitrile in China was 8,234 yuan/ton, up by 0.88% month-on-month. During the same period, the average production profit of acrylonitrile was -904 yuan/ton, down by 373 yuan/ton month-on-month.

PriceSeek Analysis of Acrylonitrile, Bull-Bear Score: -2
The spot price of acrylonitrile experienced an expanded decline, with production costs rising by 0.88% month-on-month to 8,234 yuan/ton. However, production profits deteriorated to -904 yuan/ton, down by 373 yuan/ton month-on-month, indicating a worsening loss situation. This suggests increasing pressure on the supply side, with weak demand leading to a significantly stronger downward trend in prices, posing a major bearish impact on the spot market.

Propylene, Bull-Bear Score: 1.5
Upstream propylene prices continued to rise, driving up the production cost of acrylonitrile. This reflects strong demand or tight supply of propylene, exerting a strong positive influence on spot prices. The upward price trend may stimulate market buying, but attention should be paid to the transmission effects on the downstream industrial chain.