Raw Material Price Reference Of Optical Fiber Cable

In the second quarter of 2026, the bidding for group level optical cables by domestic operators did not land, resulting in insufficient optical cable orders and weak material demand. The market price of optical cable raw materials remained at the level of the first quarter, with some raw materials experiencing small-scale fluctuations. Entering the second quarter, the fiber optic cable raw material market has not reached the expected turning point, and the core contradiction has shifted from "unable to buy" in the first quarter to "unable to sell" and "unable to afford".

On the demand side, the centralized procurement of operator groups has not been implemented yet, and the capacity utilization rate of optical cable factories is insufficient. "No orders" has become a common pain point in the industry. The overall market volume is shrinking, and even if there are slight fluctuations in the raw material side, the terminal transaction price is difficult to improve due to the lack of support. All parties generally place their hopes on the follow-up procurement project, but according to feedback, it still takes time.

On the supply side, fluctuations in international oil prices have a certain impact on the prices of materials in the petrochemical chain, but weak demand has led to cost reductions being overdrawn in fierce competition, creating expectations of "lower raw material prices and even lower finished product prices"; Metals and auxiliary materials are facing the dilemma of rising costs but unable to do so. At the same time, the competition in the downstream bidding process is fierce, and the bargaining position of material companies is further weakened. Small scale enterprises adopt aggressive pricing to maintain operation, exacerbating market disorder competition and continuously compressing industry profit margins. In addition, some suppliers have entered across borders, making the track even more crowded, but their quality control and long-term supply stability are questionable. Industry insiders have realized that there is no way out for "roll prices", but the process of market clearing is bound to be accompanied by pain.

Looking ahead to the third quarter, whether the market can break through still depends on the pace of centralized procurement and landing by operators and fiber optic cable companies. In the long run, establishing a more flexible, interconnected, and quality differentiated procurement mechanism, and shifting the focus of competition towards technology and quality, is the fundamental path for the industry to overcome difficulties.