CommoPlast Article

Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction on 13 May 2025, with the results for prime grades as follows:

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*
PPH Yarn	1710	1705	7050	$868	7100-7330	$874-902	99.7%
PPBC Inj	600	379	6800	$837	6800-7500	$837-923	63.2%
LL Film	595.45	565.15	7080	$871	7080-7590	$871-9934	94.9%
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 auction saw robust buying interest across key product lines, driven by improved sentiment following the temporary easing of US-China trade tensions. The strong sell-through rate reflects renewed optimism in the downstream market.

A key contributor to the positive outcome was Shenhua’s tactical move to reduce auction prices marginally, making coal-based materials more competitively priced than domestic spot cargoes. This pricing advantage spurred procurement activity, especially for PPH Yarn and LLDPE Film, both of which recorded deal rates exceeding 94%.

“Given the current bullish sentiment, we anticipate continued firm buying interest in the near term,” commented a market participant. “That said, most buyers remain cautious, adhering to hand-to-mouth purchasing strategies due to lingering macroeconomic uncertainties.

Shenhua Auction: Softer prices, improving market outlook boosted auction results