China Morning Snapshot – 25 November 2025

PP and LLDPE futures on the Dalian Commodity Exchange traded narrowly through the morning, with PP softening into the close while LLDPE edged slightly higher.

The total domestic inventory reduced by 25,000 tons from yesterday to 685,000 as of 25 November 2025.

Local sellers kept offers broadly steady, though many signalled flexibility for firm enquiries. Nonetheless, trades remained thin as buyers continued to hold back, maintaining the “wait-and-see” stance that has weighed on China’s domestic polyolefin market in recent months.

A local distributor said producers were clearing cargoes as usual ahead of the month-end, yet concluded volumes stayed limited. “Customers are still waiting for prices to move lower toward what they see as a cyclical bottom,” the distributor noted.

Some market participants explored interest for December 2025 and January 2026 deliveries, but most buyers preferred to procure only for immediate needs. Expectations of further price erosion and wanting to secure bigger margin have made it difficult to establish workable levels for forward sales.

This reluctance to commit to future purchases is slowing inventory drawdowns, a trend that market sources say is curbing price recovery in the near term.

Written by: Kat Yun Yun

Edited by: Farid Muzaffar