Shenhua Auction: Sales climbed but remained mixed
A rebound in futures contracts—driven in part by rising energy prices—helped lift performance on the Shenhua Auction Platform. However, the producer’s decision to hold LLDPE prices steady met resistance from buyers
Shenhua Baotou Coal Chemical Co, China’s largest coal-based petrochemical producer, concluded its auction on 17 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 |
1270 |
1258 |
7050 |
$853 |
7100-7270 |
$860-880 |
99.1% |
|
PPBC Inj |
400 |
397 |
6850 |
$829 |
6850-7110 |
$829-861 |
99.3% |
|
LL Film |
770 |
523 |
7250 |
$878 |
7310-7650 |
$885-926 |
67.9% |
|
*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. |
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Auction platform: https://www.e-chnenergy.com
Auction time: Monday – Friday, 10 AM – 12 PM
Key takeaways:
A rebound in futures contracts—driven in part by rising energy prices—helped lift performance on the Shenhua Auction Platform. However, the producer’s decision to hold LLDPE prices steady met resistance from buyers, who cited misalignment with the persistently weakening spot market.
The divergence in sell-through rates between LLDPE and homo-PP remained notable. While LLDPE auctions saw a second consecutive day of improved uptake, climbing from 51.9% to 67.9%, this still lagged the PP segment by a significant 32%.
In the broader spot market, LLDPE prices continued their gradual descent, slipping by another CNY150/ton week-on-week. The decline now averages CNY1,450/ton since the beginning of the year, reflecting ongoing softness in demand.
Written by: Kat Yun Yun
Edited by: Derek Yong