Shenhua Auction: Sell-through rates rebounded on lower prices, sustainability in question
Shenhua’s first auction session of the week ended on a strong note, aided by a rebound in Dalian Commodity Exchange futures and a more flexible pricing strategy from the coal-based producer.
Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction on 20 October 2025 with improved sell-through rates across key grades, supported by softer prices and a firmer futures market.
|
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 |
2300 |
2105 |
6200 |
$771 |
6250-6560 |
$777-815 |
91.5% |
|
PPBC Inj |
266 |
132 |
6150 |
$764 |
6150 |
$764 |
49.6% |
|
LL Film |
400 |
400 |
6850 |
$851 |
6860-6870 |
$853-854 |
100.0% |
|
*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:
Shenhua’s first auction session of the week ended on a strong note, aided by a rebound in Dalian Commodity Exchange futures and a more flexible pricing strategy from the coal-based producer. However, industry participants remained cautious over whether the latest upturn is sustainable.
Data indicated that auction prices for key grades such as homo-PP and LLDPE film fell by CNY 40–100/ton compared to the previous session, improving their price competitiveness against domestic spot offers.
A market source remarked, “It’s still uncertain whether prices have reached a cyclical bottom. Most purchases from the auction were made to fulfil immediate production needs rather than speculative buying.”
Written: Kat Yun Yun
Edited: Rochelle Nguyen