|
|
05 December 2024 - Shenhua's coal-based PP and PE Auction ResultsTrading activities on the Shenhua Auction Platform plunged sharply from the previous session despite the moderate auction volume available. Chinese bidders shied away from the unappealing pricing set by the coal-based producer – Shenhua despite the continued weakening of 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 05 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 % |
||
|
CNY/ton |
USD/ton |
CNY/ton |
USD/ton |
||||
|
Combined and reported by CommoPlast |
|||||||
|
Homo-PP |
1230 |
718 |
7230 |
$880 |
7230-7520 |
$880-915 |
58.4% |
|
PPBC |
132.15 |
32.15 |
7350 |
$895 |
7440 |
$906 |
24.3% |
|
LLDPE |
500 |
133 |
8560 |
$1042 |
8620-8700 |
$1049-1059 |
26.6% |
|
*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. |
|||||||
Trading activities on the Shenhua Auction Platform plunged sharply from the previous session despite the moderate auction volume available. Chinese bidders shied away from the unappealing pricing set by the coal-based producer – Shenhua despite the continued weakening of futures contracts on the Dalian Commodity Exchange.
"The weakening of the futures market for two consecutive sessions made Shenhua’s decision to maintain firm pricing unappealing to buyers," commented a market source.
Auction results showed that the price for homo-PP remained unchanged from the previous day, while LLDPE recorded a modest increase of CNY 60/ton.
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
