Shenhua Auction: Firmer futures and crude lift PP and LLDPE sentiment
Shenhua’s morning auction on Thursday achieved robust results, with PPH yarn and LLDPE film both recording near-full sell-through. The stronger performance reflected improved sentiment across the market
Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction on 23 October 2025 with strong sell-through rates for PPH yarn and LLDPE film, while PPH injection saw limited interest.
|
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 |
2000 |
1928 |
6220 |
$773 |
6280-6500 |
$781-808 |
96.4% |
|
PPH Inj |
170 |
33 |
6320 |
$786 |
6320 |
$786 |
19.4% |
|
LL Film |
500 |
499 |
6700 |
$833 |
6730-6950 |
836-864 |
99.8% |
|
*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
Shenhua’s morning auction on Thursday achieved robust results, with PPH yarn and LLDPE film both recording near-full sell-through. The stronger performance reflected improved sentiment across the market as PP and LLDPE futures on the Dalian Commodity Exchange extended their rebound, supported by firmer crude oil benchmarks that helped reinforce short-term confidence among buyers.
Traders attributed the firm buying sentiment to need-based replenishment and steady auction prices, which were broadly viewed as reasonable—especially as several local sellers tested marginally higher offers in the domestic spot market earlier in the day.
“Stronger crude prices are helping stabilise sentiment, giving producers room to test slightly higher offers in the local market,” said one trader. “However, with the weekend approaching, overall buying momentum remains limited as many buyers prefer to observe whether the rebound can be sustained.”
While the improved results signal firmer short-term sentiment, participants cautioned that sustained demand recovery would depend on continued support from upstream markets and a broader pickup in domestic end-user activity.
Written: Kat Yun Yun
Edited: Aiman Haikal