[Recycled PIR Morning Brief] Market Expected to Fluctuate Within a Narrow Range

Daily Summary

Spot Overview

Raw material: The rainy season in southern China has pushed up waste sorting costs. The price of first-grade latex scrap increased by RMB 80–120/ton month-on-month. Industry operating rates are at 65%–70%. Supply of first-grade pure granules is relatively tight, while mixed material supply remains sufficient.

Mainstream tax-included ex-factory price

· Grade 1 pure recycled PIR: RMB 8,650–9,200/ton, with mainstream transactions at RMB 8,800–9,000/ton;

- Secondary mixed materials: 8100-8500 RMB/ton; tertiary low-purity materials: 7600-8000 RMB/ton, yesterday's prices remained stable, with high-quality sources slightly rising by 50-100 RMB/ton.

Demand for tires, seals, and medical components for export orders has declined, manufacturers are replenishing stock in small quantities as needed, prices are generally being pushed down, and inventory is slowly accumulating.

Long-short logic

Support: wool supply remains tight, recycling costs are rising, and fixed blending demand remains stable.

Bearish factors: low-price competition from natural rubber, no incremental demand during the off-season at the downstream end, and traders are staying on the sidelines instead of building inventories.

Market Forecast and Operations