Shenhua Auction: Sentiment softens, but need-based purchases sustain activity
The relatively firm auction performance was attributed to Shenhua’s flexible pricing approach, aimed at cushioning the impact of softer futures on the Dalian Commodity Exchange.
Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction 18 September 2025, with the results for prime grades as follows:
|
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 |
1150 |
872 |
6550 |
$815 |
6550-6900 |
$815-859 |
75.8% |
|
BOPP |
300 |
300 |
6750 |
$840 |
6750 |
$840 |
100.0% |
|
PPBC Inj |
200 |
0 |
6600 |
$821 |
- |
- |
0.0% |
|
LL Film |
400 |
400 |
7000 |
$871 |
7060-7100 |
$879-884 |
100.0% |
|
HD Film |
100 |
10 |
7150 |
$890 |
7150 |
$890 |
10.0% |
|
*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. |
|||||||
Auction platform: https://www.e-chnenergy.com
Auction time: Monday – Friday, 10 AM – 12 PM
Key takeaways
China’s polyolefin market remained under pressure on Thursday, with buyers largely restricting activity to need-based purchases ahead of the Golden Week holiday.
On the Shenhua Auction Platform, homo-PP yarn continued to register healthy deal volumes, while BOPP and LLDPE film were fully cleared at the latest auction, albeit on limited volume. Even so, sentiment stayed soft, with most participants cautious about replenishing beyond immediate requirements.
The relatively firm auction performance was attributed to Shenhua’s flexible pricing approach, aimed at cushioning the impact of softer futures on the Dalian Commodity Exchange. Day on day, auction prices fell by CNY 50–80/ton, with adjustments concentrated at the upper end of the prevailing ranges.
“Sellers are trying to avoid deeper cuts, but buyers remain conservative, keeping transactions confined within a narrow band,” a local trader said. “With demand for finished goods still muted, there is little confidence for a rebound in the near term.”
Written: Kat Yun Yun
Edited: Farid Muzaffar