Glass Manufacturing: Profit will Bottom Out in Q1

(China Glass Network) Shenyin & Wanguo Securities thought that fundamentals change of glass manufacturing from the fourth quarter of 2011to now was similar with the period between the end of 2008 and the beginning of 2009. The profit level was downward, and industrial gross profit approached the bottom of 2006 and 2009. Moreover, the demand fell faster.

It was predicted that the industrial profit would bottom out in the end of first quarter. Later, more kilns will stop operation, the supply will decrease, the seasonal market will start. If the demand will recovery in the second quarter, industrial profit level and glass prices will increasingly rise again.