Shandong Yulong Auction: Demand remains need-based as market sentiment stays cautious
Shandong Yulong’s latest PP and PE auction on Tuesday presented a mixed performance, with slightly firmer interest for PP and HDPE grades, while demand for LLDPE film softened compared to late last week’s session.
HD Film LL C4 Film PPBC Inj PPH Film
Shandong Yulong’s latest PP and PE auction on Tuesday presented a mixed performance, with slightly firmer interest for PP and HDPE grades, while demand for LLDPE film softened compared to late last week’s session.
|
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 (FD) |
1200 |
120 |
6600 |
$823 |
6650 |
$829 |
10.0% |
|
PPBC inj (FD) |
900 |
150 |
6740 |
$840 |
6740 |
$840 |
16.7% |
|
LL Film (FD) |
1200 |
600 |
7060 |
$880 |
7060 |
$880 |
50.0% |
|
HD Blow (EXW) |
1200 |
600 |
7150 |
$891 |
7150-7160 |
$891-892 |
50.0% |
|
HD Blow (FD) |
1200 |
0 |
7170 |
$894 |
- |
- |
0.0% |
|
HD Yarn (EXW) |
300 |
60 |
7310 |
$911 |
7310 |
$911 |
20.0% |
|
HD Yarn (FD) |
900 |
690 |
7280 |
$907 |
7280-7310 |
$907-911 |
76.7% |
|
* 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. |
|||||||
According to market participants, the weaker response toward LLDPE film was largely due to a CNY 30/ton increase in its auction price, which trimmed buying enthusiasm. In contrast, other PP and PE grades held steady or edged slightly lower, prompting selective purchases mainly from converters replenishing for immediate needs rather than building inventories.
Despite some improvement in HDPE and PP deals, total volumes remained modest, highlighting the market’s cautious tone.
“Customers are comparing prices carefully and only making purchases on a need basis,” a trader said. “Even in the local market, most buyers are not particularly focused on price movements today, given the softer tone in futures and crude markets. Confidence in the near-term outlook remains fragile, and few expect a rebound unless significant supporting factors emerge.”
Overall, the session underscored a restrained trading environment shaped by cautious sentiment, volatile cost signals, and limited downstream recovery — keeping PP and PE transactions largely rangebound for now.
Written: Kat Yun Yun
Edited: Aiman Haikal