Omicron Threat in China Concerning Key Players, Traders are Uncertain About Price Trend of Additives and Oxo Chemicals
- 19-Jan-2022 4:25 PM
- Journalist: Xiang Hong
Pandemic uncertainties and temporary havocs are becoming new normal in our lives, as COVID is not letting these situations vanished. Whether the market initiates to normalise, another variant pops up to ruin all the momentum. In China, Omicron variant has been emerged as another issue for Chinese producers and traders, which has started making them anxious about supply chain activities in forthcoming month.
As per ChemAnalyst sources, major oxo alcohol and construction chemicals manufacturers are concerned about supply chain disruption that may appear in forthcoming months. As per the data, after witnessing prolonged dullness, Oxo Alcohols prices initiated to show rebound during past few weeks in Chinese market. Same was observed for some concrete additives, which also showcased better offtakes than previous month.
It has been observed that, due to China’s famous zero tolerance policy, civilians had to face stringent movement restrictions, which also affect consumptions as well as production activities in the country. Therefore, rising infection rate are making producers anxious, and they are afraid of the fact that history might repeat itself. Meanwhile, Beijing Olympics is the only hope for these convertors, which might restrain Chinese government from imposing nation-wide lockdown. However, 7 major provinces are already witnessing movement restrictions at some extent.
Furthermore, not only domestic production, but any resurgence in pandemic cases also disturbs imports/export activities across Chinese market. As per latest reports, Shanghai and Dalian ports have started facing further congestion due to Omicron, which will resulted into delays in shipments and slow down the growth rate of the country.
As per ChemAnalyst Analysis, rising concerns over multiplying infection rate is going to disturb market dynamics of APAC region. Further, Omicron is not only hitting China but also dominating other major economies like India and USA. Therefore, shipments delays and low production activities are expected in forthcoming month from China.