20 November 2023 - Shenhua's coal-based PP and PE Auction Results
Compared to the previous trading session, Shenhua received better responses from the market on the first day of the week.
Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes on 20 November 2023. 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 |
1330 |
1000 |
7340 |
$905 |
7500-7670 |
$924-945 |
75.2% |
|
PP Fiber |
- |
- |
- |
- |
- |
- |
- |
|
PPBC |
250 |
50 |
7340 |
$905 |
7600 |
$937 |
20.0% |
|
LLDPE |
798 |
608 |
7850 |
$968 |
7850-8100 |
$968-998 |
76.2% |
|
LDPE heavy duty |
- |
- |
- |
- |
- |
- |
- |
|
HDPE |
100 |
0 |
8050 |
$992 |
- |
- |
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. |
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Compared to the previous trading session, Shenhua received better responses from the market on the first day of the week. The stronger number of deals is also the direct result of lower auction prices, sources said. Data showed the coal-based producer lowered the auction price for homo-PP by CNY20/ton while slashing LLDPE by CNY200/ton.
Market buying activities are driven by immediate needs, with uncertainty prevailing in the near-term outlook.
Background:
Shenhua Baotou Coal Chemical Co is currently the largest coal-based polyolefins producer in China, operates under four subsidiaries, namely: 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 has an annual capacity of 2.65 million tons/year of PP, 750,000 tons/year of HDPE/LLDPE and 570,000 tons/year of LDPE.
Shenhua Baotou Coal Chemical Co is active in spot trading, while also conducting the daily auction for its cargoes daily between 10AM to 12PM on the official online platform that specifically designed for this purpose: https://www.e-chnenergy.com