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Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction 04 December 2025, with the results for prime grades as follows:

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

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

Shenhua concluded its auction on 4 December 2025, revealing a further decline in buying activity compared with the previous session. Homo-PP yarn transacted at a 61% deal ratio, down from 72.3% on 03 December, while LL film sales fell from 28.6% to just 18.9%, illustrating softening appetite across both PP and LLDPE grades.

Despite sellers trimming prices by CNY 10–30/ton, the modest reductions failed to stimulate broader participation. Injection-grade homo-PP cleared fully, consistent with needs-based replenishment, while PPBC offers remained unsold, underscoring selective interest and cautious trading behaviour.

Market sentiment continued to be influenced by softer January 2026 DCE futures, which weighed on buyer confidence and encouraged a defensive stance ahead of the weekend. “Buyers who secured orders earlier in the week are holding off to see if prices ease further,” a local participant said. Analysts note that inventories, cautious downstream activity, and limited speculative interest continue to cap broader market engagement.

Overall, the session reinforces a defensively positioned market, with selective PP demand providing short-term support, while LLDPE remains under pressure. Observers expect sentiment to stay muted in the near term unless stronger downstream consumption, firmer futures, or fresh market drivers emerge.

Written by: Kat Yun Yun 

Edited by: Farid Muzaffar

Country
China