|
|
27 September 2024 - Shenhua's coal-based PP and PE Auction ResultsThe Shenhua Auction Platform experienced a notable surge in buying activity on the final trading day of the week, largely driven by the robust recovery of key futures contracts on the Dalian Commodity Exchange. |
|
Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes on 27 September 2024. The following table showed the details of the auction results for prime grade only:
|
Product |
Auction Volume |
Deal Volume |
Auction Prices |
Deal Prices |
Deal % |
||
|
CNY/ton |
USD/ton |
CNY/ton |
USD/ton |
||||
|
Combined and reported by CommoPlast |
|||||||
|
Homo-PP |
2180 |
1806 |
7100 |
$896 |
7100-7500 |
$896-947 |
82.8% |
|
PPBC |
250 |
250 |
7380 |
$932 |
7430-7540 |
$938-952 |
100.0% |
|
LLDPE |
1050 |
1050 |
8050 |
$1016 |
8110-8140 |
$1024-1028 |
100.0% |
|
HDPE |
- |
- |
- |
- |
- |
- |
- |
|
*Auction and Deal volumes are in tonnage *All USD equivalent prices only exclude the 13% value-added tax (VAT). They have not taken into account other costs that might incur in the selling process, i.e. import duty, customs clearances. |
|||||||
The Shenhua Auction Platform experienced a notable surge in buying activity on the final trading day of the week, largely driven by the robust recovery of key futures contracts on the Dalian Commodity Exchange. Both PP and LLDPE registered strong auction results, despite a CNY30/ton ($4/ton) price increase compared to the previous day. Buyers actively sourcing competitive parcels to prepare for the upcoming weeklong holiday.
This spike in transactions is further fueled by recent government stimulus measures, including direct cash handouts intended to stimulate consumer spending. The resulting uptick in demand for end products signals growing confidence in the market.
Background:
Shenhua Baotou Coal Chemical Co, the largest coal-based polyolefins producer in China, operates through four subsidiaries: Shenhua Xinjiang Coal-based New Materials Project, Shenhua Yulin Energy Co. Ltd., Shenhua Baotou Coal Chemical Co. Ltd., and Shenhua Ningxia Coal Industry Group (Ningmei).
The company boasts an annual production capacity of 2.65 million tons of PP, 750,000 tons of HDPE/LLDPE, and 570,000 tons of LDPE.
Active in spot trading, Shenhua Baotou also conducts daily auctions for its cargoes from 10 AM - 12 PM on its dedicated online platform, available at https://www.e-chnenergy.com.
Written by: Kat Yun Yun
Edited by: Rochelle Nguyen
Country
China
