CommoPlast | Article - Shenhua Auction: Futures recovery boosted uptake, but sectoral disparities remained

Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction on 08 April 2025, with the results for prime grades as follows:

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	1100	1099	7050	$851	7100-7260	$857-877	99.9%
PPH Inj	100	100	6900	$833	6900	$833	100.0%
LL Film	800	334	7500	$905	7500-7550	$905-912	41.8%
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.

Auction platform: https://www.e-chnenergy.com

Auction time: Monday – Friday, 10 AM – 12 PM

Key takeaways:

The Shenhua Auction Platform recorded a modest recovery in uptake rates, underpinned by a slight rebound on the Dalian Commodity Exchange. However, divergent spot market conditions continued to shape buyer behaviour across auction segments.

In the LLDPE sector, procurement rates lagged behind those of PP by 58.1%, indicating a subdued response to the CNY150/ton ($21/ton) discount. Buyers at auction remained cautious, echoing broader market concerns over domestic capacity expansions—particularly in light of the anticipated startup of ExxonMobil Huizhou’s facilities.

Meanwhile, a cumulative CNY100/ton decline in spot LLDPE prices over the week stood in contrast to the relative stability in the PP market, reinforcing the disparity in sentiment between the two auction segments.

Written by: Kat Yun Yun

Edited by: Derek Yong

Country

China