Propylene producers prioritize passing on price concessions, while downstream buyers maintain a cautious stance toward procurement.

1. Daily Summary

① The FOB Korea closing price was USD 1,300/ton, while the domestic China closing price converted to RMB was CNY 10,180/ton.

② The domestic PP powder market trended weaker with fluctuations. Weakening cost-side support dampened market sentiment, leading to cautious operations. Downstream demand remained limited to essential needs, and continuous substitution of PP powder by pellet-grade resin further pressured the market. Amid multiple bearish factors, market focus gradually shifted to mid-to-low levels, with only small-volume transactions driven by essential demand. As of noon, mainstream quotes for PP powder in East China were CNY 10,650–10,700/ton, while reference prices in Shandong ranged from CNY 10,370–10,670/ton.

2. Spot Market Overview

Table 1: Domestic Propylene Price Summary (Unit: CNY/ton)

On November 10, there were 26 data collection points for propylene in Shandong, with 8 valid samples collected (excluding long-term contracts). Transaction volume was approximately 2,000 tons, with prices ranging from CNY 10,400–10,500/ton and an average of CNY 10,450/ton.

According to a report by Chempricehub on November 13: Today, propylene prices in Shandong continued their downward trend. Mainstream closing references stood at CNY 10,200–10,400/ton, with an average of CNY 10,300/ton, down CNY 125/ton from the previous trading day. Although international crude oil prices rebounded slightly, overall market sentiment remained weak, with producers primarily offering discounts to clear inventory. Downstream factories purchased strictly based on essential needs at lower prices, continuing to drag transaction centers downward.

3. Production Dynamics

Propylene capacity utilization stood at 67.92%. PDH margins were negative CNY 350/ton in East China and negative CNY 275/ton in Shandong; naphtha cracking margins were positive USD 169/ton; MTO margins were negative CNY 832/ton.

4. Price Forecast

Producer sales strategies varied, while downstream buyers and traders replenished stocks opportunistically at low prices, providing limited support to spot prices. Prices are expected to remain weak tomorrow.

5. Related Product Status

PP Powder: The Linyi PP powder market experienced wide-range consolidation, with regional offers adjusting according to market conditions. Wait-and-see sentiment persisted, though some downstream users replenished essential stocks. Grade 040 delivered prices referenced around CNY 10,280–10,400/ton (cash basis CNY 9,612–9,724/ton), while Grade 225 prices referenced CNY 10,620–10,670/ton.

Propylene Oxide (PO): Mainstream negotiations for PO in the Shandong market were at CNY 10,700–10,800/ton ex-factory (spot cash). Supply-side units remained stable. Following the rise in crude oil prices, sentiment improved slightly today. Downstream buyers maintained purchasing considering the PO-propylene spread. Factories currently in operation saw decent shipments starting yesterday, easing pressure and allowing the market to stabilize and consolidate as participants await feedback from end-users.

Octanol: Today, mainstream transactions for octanol in Shandong were at CNY 9,300/ton. New order transactions improved compared to yesterday. Sellers adjusted earlier low-price offers upward, while buyers mainly focused on essential replenishment. Cautious sentiment remains prevalent in the market.

6. Data Calendar

Table 2: Domestic Propylene Data Overview (Unit: 10,000 tons)