31 May 2024 - Shenhua's coal-based PP and PE Auction Results
Shenhua concluded the final trading day of the month on a mixed note with homo-PP achieving strong sales result while LLDPE witnessing a drastic drop even with the lowered auctioned volume.
Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes on 31 May 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 |
1050 |
1050 |
7500 |
$920 |
7570-7860 |
$925-961 |
100.0% |
|
PP Fiber |
- |
- |
- |
- |
- |
- |
- |
|
PPBC |
- |
- |
- |
- |
- |
- |
- |
|
LLDPE |
600 |
300 |
8530 |
$1043 |
8530 |
$1043 |
50.0% |
|
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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Shenhua concluded the final trading day of the month on a mixed note with homo-PP achieving strong sales results while LLDPE witnessing a drastic drop even with the lowered auctioned volume. This is a direct result of the higher auction prices of CNY80/ton day-on-day.
Industry insiders anticipate further developments next month, foreseeing continued support from the carbon emission control policy, particularly for coal-based cargoes. The expectation is that June's market will open on a stronger note.
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