Shenhua Auction: Sales remained mixed after widespread discounts
The Shenhua Auction Platform implemented sweeping price cuts across all grades in response to the prior session’s subdued purchasing appetite. Yet, the move yielded only limited improvement in engagement
Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction on 16 April 2025, with the results for prime grades as follows:
|
Product |
Auction Volume |
Deal Volume |
Auction Prices |
Deal Prices |
Deal % |
||
|
CNY/ton |
USD/ton |
CNY/ton |
USD/ton |
||||
|
Combined and reported by CommoPlast |
|||||||
|
PPH Yarn |
1210 |
1205 |
7050 |
$851 |
7090-7270 |
$856-878 |
99.6% |
|
PPBC Inj |
400 |
199 |
6850 |
$827 |
7100 |
$857 |
49.8% |
|
LL Film |
770 |
400 |
7250 |
$875 |
7320-7400 |
$884-893 |
51.9% |
|
*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 implemented sweeping price cuts across all grades in response to the prior session’s subdued purchasing appetite. Yet, the move yielded only limited improvement in engagement, as buyers continued to base procurement decisions on futures market cues rather than auction pricing.
In the LLDPE segment, purchases rose by just 8.1% following a CNY100/ton price cut, with buyer sentiment dampened by persistent weakness in LLDPE futures contracts during the morning session. Spot market conditions offered little support, extending a downtrend into a 16th consecutive week.
Meanwhile, homo-PP uptake improved from the prior session’s 90.3% to nearly full clearance, supported by relatively firmer performance in PP futures compared to LLDPE.
Still, participants remained cautious, closely observing how the ongoing ChinaPlas trade fair might affect auction activity.
Written by: Kat Yun Yun
Edited by: Derek Yong