CommoPlast Article

Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction 11 August 2025, with the results for prime grades as follows:

Product	Auction Volume	Deal Volume	Auction Prices		Deal Prices		Deal %
Product	Auction Volume	Deal Volume	CNY/ton	USD/ton	CNY/ton	USD/ton	Deal %
*Combined and reported by CommoPlast*
PPH Yarn	966	866	6900	$850	6970-7070	$859-871	89.6%
PPBC	389	139	7020	$865	7050-7160	$869-882	35.7%
LL Film	450	400	7000	$863	7020-7180	$865-885	88.9%
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.

Auction sales for PP homo yarn and LLDPE at Shenhua this morning was broadly in line with last Friday’s performance, with activity underpinned mainly by routine, need-based procurement at the start of the week.

Bidders attributed the muted outcome to the dwindling PP and LLDPE futures trading during the morning session, which prompted converters and distributors to secure only limited volumes to cover immediate requirements.

“While PP and LLDPE futures are moving within a tight band, customers are buying strictly to meet current needs, with no sign of additional stocking,” a local player said. “It’s the beginning of the week, so the situation warrants close monitoring. Confidence in the near-term outlook remains subdued.”

Caution is likely to persist in the days ahead unless futures markets establish a clearer trend or downstream demand strengthens. Market attention also remains fixed on potential government measures, including proposed cash handouts for childcare that could boost domestic spending, though stepped-up anti-involution policies could temper any boost to sentiment.

Shenhua Auction: Deals steady to start the week but cautious buying remains