Morning Briefing - 11 Dec. 2025
CommoPlast
Morning Briefing
11 December 2025
Brent: $62.21 (+ $0.27)
WTI: $58.46 (+ $0.21)
Naphtha CFR Japan: - $4
Ethylene CFR NEA: Stable
Ethylene CFR SEA: Stable
Propylene FOB Korea: Stable
Propylene CFR China: Stable
*Data represent closing prices of the previous trading day
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Chinese PVC Producers Cut Operating Rates as Market Deteriorated
Several carbide-based PVC producers in China have begun implementing unplanned shutdowns or lowering operating rates amid bearish near-term demand prospects both domestically and in export markets. Industry sources said the moves were prompted by a steady build-up in domestic inventories, which have climbed to historic highs.
Market participants, however, remain unconvinced that the production cuts will be enough to lift trading sentiment in the coming days, especially with the year-end holiday period approaching and procurement activity expected to slow further.
Spot offers for carbide-based PVC fell by CNY 100–350/ton ($14–50/ton) from the previous week, while ethylene-based PVC prices slipped by around CNY 50/ton ($7/ton).
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Danantara In Advanced Talks To Acquire Stake In Lotte Chemical Indonesia
Indonesia’s sovereign wealth fund, Danantara, is in advanced negotiations to acquire a significant stake in Lotte Chemical Indonesia (LCI) in a deal estimated at about US$1.7 billion. The potential investment is tied to LCI’s newly commissioned petrochemical complex in Cilegon, marking one of the country’s largest recent industrial transactions.
Danantara said it is reviewing several ownership structures, with discussions currently centred on a 25–30% equity interest. Talks remain ongoing and no binding agreement has been reached.
LCI’s ownership was recently changed after one of its parents company – Lotte Chemical Corporation divested 25% of its holdings to a South Korean consortium, reducing its holdings to 24%. Market sources are eyeing further changes in sharholding structure, which could influent the company’s long term strategies.
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