Shenhua Auction: Softer prices lift PP deals, LLDPE demand remains firm.

Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction 12 September 2025, with the results for prime grades as follows:

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

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

Key takeaways

Shenhua concluded the final trading day of the week with marked improvement, supported by selective price adjustments.

Homo-PP yarn achieved a deal ratio of more than 60% as sellers trimmed starting offers by CNY50/ton from Thursday, though concluded prices still settled CNY40–50/ton lower, highlighting ongoing weakness in this grade.

In contrast, LLDPE film once again drew robust demand, with almost 90% of offered volumes taken up. Despite softer futures on the Dalian Commodity Exchange for most of the morning, LLDPE prices were largely held steady in the auction, underscoring their relative strength versus other products.

Market participants noted that while discounts provided near-term support, transactions continued to reflect cautious, need-based buying. With futures staging a late rebound, attention now turns to whether sentiment next week can improve ahead of the traditional restocking window later in September.

Written: Kat Yun Yun 

Edited: Aiman Haikal