CommoPlast Article

Shenhua Baotou Coal Chemical Co., China’s largest coal-based polyolefin producer, wrapped up its 07 July 2025 auction on a subdued note as market sentiment remained under pressure from external macroeconomic headwinds.

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	2080	1005	6850	$845	7010-7110	$865-878	48.3%
PPBC	332	78	6850	$845	7100-7200	$876-889	23.5%
LL Film	400	99	7000	$864	7000	$864	24.8%
HD Film	100	0	7700	$950	-	-	0.0%
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 kicked off the week with lukewarm performance across key grades, reflecting deepening caution in the wake of falling futures on the Dalian Commodity Exchange. The CNY 50/ton markdown for homo-PP failed to spark stronger buying interest, suggesting that price corrections alone are insufficient to offset growing demand-side concerns.

“Similar adjustments in the broader spot market have narrowed the premium typically associated with Shenhua’s cargoes. Buyers are staying defensive as geopolitical and trade uncertainties cloud the near-term outlook,” commented a market source.

The continued absence of clarity surrounding potential US tariff actions has left players hesitant to build stock. Most market participants expect subdued activity to persist until more definitive guidance emerges, keeping procurement strategies firmly in wait-and-see mode.

Shenhua Auction: Bearish market mood weighs on PP and PE deals