12 November 2024 - Shenhua's coal-based PP and PE Auction Results
Trading sentiment on the Shenhua Auction Platform saw a meaningful recovery on the second day of the week, partly driven by the rebounded futures contracts on the Dalian Commodity Exchange. Besides, the coal-based producer also trimmed auction prices
Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes on 12 November 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 |
1400 |
1206 |
7110 |
$870 |
7110-7530 |
$870-922 |
86.1% |
|
PPBC |
46 |
46 |
7730 |
$946 |
7760-7770 |
$950-951 |
100% |
|
LLDPE |
600 |
600 |
8180 |
$1001 |
8220-8390 |
$1006-1027 |
100% |
|
*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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Trading sentiment on the Shenhua Auction Platform saw a meaningful recovery on the second day of the week, partly driven by the rebounded futures contracts on the Dalian Commodity Exchange. Besides, the coal-based producer also trimmed auction prices by CNY 40/ton for homo-PP and CNY 60/ton for LLDPE, which incentivized bidders to return for some purchases.
Nevertheless, the general sentiment is one of caution. Buyers maintained a conservative outlook while expecting greater volatility ahead.
Background:
Shenhua Baotou Coal Chemical Co, the largest coal-based polyolefins producer in China, operates through four subsidiaries: 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 boasts an annual production capacity of 2.65 million tons of PP, 750,000 tons of HDPE/LLDPE, and 570,000 tons of LDPE.
Active in spot trading, Shenhua Baotou also conducts daily auctions for its cargoes from 10 AM - 12 PM on its dedicated online platform, available at https://www.e-chnenergy.com.
Written by: Kat Yun Yun
Edited by: Muhammad Hafiz