Morning Market Briefing: Propylene Glycol

I. Key Points

1. Sep 28: US-Iran relations remain in a deadlock, sustaining market concerns over supply risks and driving up international crude oil prices. NYMEX WTI crude oil futures (November contract) closed at $92.60/bbl, up $0.19/bbl (+0.21%); ICE Brent crude oil futures (November contract) closed at $105.28/bbl, up $0.96/bbl (+0.92%). China INE crude oil futures (November 2026 contract) rose by 9.3 yuan to 734.1 yuan/bbl during the day session but fell by 22.5 yuan to 711.6 yuan/bbl in the night session.
2. Raw Materials: Today’s offer for propylene oxide new orders was quoted at 10,850 yuan/ton (T/T ex-works), an increase of 100 yuan/ton.
3. Supply: Monitor plant status in the Shandong region.
4. Downstream Dynamics: The unsaturated resin market continued to trade flat; spot offers for polyether fluctuated and consolidated.

Core Logic: The raw material propylene oxide market saw limited rebound within a narrow range. During the holiday period, operating factories achieved decent shipments at staged low points, resulting in some inventory reduction and pressure relief, with northern markets attempting a rebound. In the propylene glycol (PG) market, cost-side support remained strong. Suppliers’ offer prices narrowed slightly compared to pre-Mid-Autumn Festival levels, while market sentiment remained stalemate-like. Actual transactions continued at low levels. With the holiday approaching, suppliers prioritized order intake and inventory reduction scheduling. Watch today’s new order offer prices closely.

II. Price Table

Notes:

1. Propylene glycol and dimethyl carbonate are industrial grade.
2. Prices are in RMB, unit: yuan/ton.
3. Propylene glycol and dimethyl carbonate quotes are based on bank acceptance draft ex-works; propylene oxide and polyether quotes are based on cash transfer ex-works; unsaturated resin quotes are based on factory pickup.
4. The two price columns represent point-in-time prices from the previous two working weeks before this week, not weekly average prices.
5. The change rate is the period-over-period percentage change.

III. Market Outlook

On the previous working day, the domestic propylene glycol market traded in a low-level consolidation pattern. Regarding raw materials, the propylene oxide market rebounded upward. In the PG market, costs continued to rise slightly, and operating factories actively sought orders and shipped goods, though wait-and-see sentiment persisted among participants. Overall, the domestic PG market is expected to fluctuate within a range. Continue to monitor plant operations and raw material price guidance.

IV. Data Calendar

Notes:

1. ↓↑ indicates significant volatility, highlighting data dimensions with changes exceeding 3%.
2. ↗↘ indicates minor fluctuations, highlighting data dimensions with changes within 0-3%.