Fertilizer export tariffs are significantly reduced, the industry hopes to usher in spring

The crude oil market stabilized and rebounded.
Acrylic acid, urea, viscose staple fiber, and caprolactam led the rise.
PVC prices continued to fall.
The general reduction in the export tariff rate of chemical fertilizers is good for exports.
In terms of investment, we recommend the fertilizer, pesticide, and viscose staple fiber industries to deploy low- and low-value high-growth stocks in new chemical materials.
Sector market performance: down 0.
23%, stronger than the broader market.
Leading stocks include Wansheng, Evergrande High-tech, Yu Sanxia A, etc.
The core reasons driving the rise are product price increases, equity transfers, company mergers, etc.
; this week led the decline in stocks Including Jinniu Chemical, Oak shares, Jinlu Group, etc.
, the main factor is the return of valuation and so on.
Industry news and brief comments: chemical fertilizer export tariffs have been greatly reduced, and the industry hopes to usher in the spring of 2017.
The country will cancel export tariffs on urea, ammonium chloride, heavy calcium, ordinary calcium, monoammonium phosphate, diammonium phosphate, and nitrogen and phosphorus binary fertilizers; nitrogen and phosphorus The export tariff of potassium ternary compound fertilizer was lowered from 30% to 20%; the export tariff of potassium chloride, potassium sulfate and other potash fertilizers remained unchanged at 600 yuan/ton.
The overall benefit is product exports, alleviating overcapacity, and improving industry profitability.
It is recommended to focus on Hualu Hengsheng, Luxi Chemical, Xinyangfeng, Sierte, Yuntianhua, Jinzhengda, Stanley, etc.
Product price change analysis: urea and viscose staple fiber remain strong.
The market is gradually optimistic about OPEC's production reduction, and oil prices rebounded slightly; the northern haze, the industry limited production, the market operating rate is not high, the price of methanol has skyrocketed, and some companies switched to production, and the price of urea continued to rebound , Which is good for Hualu Hengsheng, Luxi Chemical, etc.
; environmental protection restrictions, low start-ups, low inventory, and upward viscose staple fiber prices, which are good for Sanyou Chemical and Nanjing Chemical Fiber, etc.
; the low season of consumption, the price of PVC continues to fall, Likongtai Chemical, Junzheng Group and so on.
Investment viewpoint: In December, the high-provision agrochemical industry, contrary to the experience of previous years, even in the off-season, the prosperity of chemical products is still high, and prices are showing a general rise.
The core driving forces are coal and oil prices, rising costs, and stricter environmental protection, which inhibits the start of the industry.
Supply is tight.
In terms of investment, it is recommended to configure prosperous varieties with improved supply and demand, and recommend chemical fertilizers, pesticides (glyphosate, etc.
), silicone, viscose staple fiber, TDI industries, and pay attention to Hualu Hengsheng, Yuntianhua, Xin'an shares, XX Group, Jinzhengda , Stanley, Xinyangfeng, Sierte, Sanyou Chemical, *ST Cangda.
At the same time, continue to be optimistic about new chemical materials, the industry will continue to replace imports, frequent policies, and catalyze the market.
Key recommendations: (1) Electronic chemicals: import substitution + technological innovation brings new demand, recommend Kangdexin, Dinglong shares, Wanrun shares.
(2) Other new materials: continue to replace foreign-funded products and grow rapidly.
Recommend Hailide and Guoci materials.