CommoPlast Article

Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes on 02 December 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 %
Product	Auction Volume	Deal Volume	CNY/ton	USD/ton	CNY/ton	USD/ton	Deal %
*Combined and reported by CommoPlast*
Homo-PP	1000	999	7180	$875	7220-7540	$880-919	99.9%
PPBC	50	50	7850	$957	7910	$964	100.0%
LLDPE	670	598	8450	$1030	8530-8730	$1040-1064	89.3%
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 closed on a strong note on the first trading day of the month, supported by a rebound on the Dalian Commodity Exchange. Chinese buyers showed robust interest in homo-PP following the appearance of a low-price cargo that was not available in the previous session.

However, market participants remain cautious as year-end market dynamics approach. Optimism lingers for a near-term uptick, driven by seasonal demand, particularly from pre-Lunar New Year orders.

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.

02 December 2024 - Shenhua's coal-based PP and PE Auction Results