19 February 2024 - Shenhua's coal-based PP and PE Auction Results
Market participants remained vigilant about the future movement of the market but also were practical and expected the market to take some time to warm up after returning from a long holiday, as is customary.
Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes on 19 February 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 |
2700 |
2149 |
7150 |
$879 |
7150-7410 |
$879-911 |
79.6% |
|
PP Fiber |
- |
- |
- |
- |
- |
- |
- |
|
PPBC |
600 |
434 |
7250 |
$891 |
7420-7450 |
$912 |
72.3% |
|
LLDPE |
1450 |
1350 |
7950 |
$977 |
7950-8120 |
$977-998 |
93.1% |
|
LDPE heavy duty |
- |
- |
- |
- |
- |
- |
- |
|
HDPE |
- |
- |
- |
- |
- |
- |
- |
|
*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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After a week of extended Lunar New Year holiday, the Shenhua Auction Platform ended today's auction with a firmer note, affecting overall auction sales for today compared to yesterday’s session.
With reduced buying enthusiasm from customers, the higher auction homo-PP and LLDPE prices of CNY50-100/ton than yesterday are encountering buyers’ resistance. As a result, the weaker overall transactions.
Market participants remained vigilant about the future movement of the market but also were practical and expected the market to take some time to warm up after returning from a long holiday, as is customary.
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