Shenhua Auction: LLDPE demand holds firm as PP rebound meets scepticism

Shenhua Baotou Coal Chemical Co., China’s largest coal-based petrochemical producer, concluded its auction 28 October 2025, with the results for prime grades as follows:

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

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

Key takeaways

Trading activities on the Shenhua Auction Platform mirror the diverged development on the Dalian Commodity Exchange in the first half of the day, with LLDPE commanding a firmer tone compared with PP. 

Market participants attributed the softer PP performance to the absence of lower-priced cargoes available in earlier sessions, which prompted stronger buyer resistance at prevailing levels. The early-week rebound had largely stemmed from last week’s rally in crude and futures prices, but with both markets opened the week largely stable, confidence in sustaining further gains appears limited.

“The producer edged up prices slightly in the auction to test whether sentiment has indeed improved since last week,” one trader said. “But buyers were unconvinced, as fundamentals remain weak and local PP supply is still abundant.”

In contrast, steady LLDPE prices continued to attract transactions, underlining its relative resilience amid the cautious overall sentiment. Still, most market players preferred to stay on the sidelines, evaluating further development before committing to fresh positions.

Written: Kat Yun Yun 

Edited: Farid Muzaffar