The market softened after a rebound, with sluggish trading activity.

1. Today’s Summary

① Several plants in the on-site market, including Zhenhai Phase 2, CNOOC Fine Chemicals, and Guoen, have shut down, resulting in a sluggish trading atmosphere.

② The domestic capacity utilization rate for propylene oxide (PO) today stands at 68.34%.

2. Spot Market Overview

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

Data Source: Chempricehub Information

Taking Shandong as the benchmark, the closing price of propylene oxide today was 11,500 RMB/ton, remaining stable compared to the previous period, which aligns with morning expectations.

Today, the domestic propylene oxide market underwent a weak adjustment. Supply-side plant operations remained largely stable. After a significant rebound in shipments over the weekend, active sales momentum cooled down. By today, some producers faced pressure and opted to lower prices slightly to negotiate sales with downstream buyers. In southern regions, transactions were primarily contract-based, with very few spot deals executed. Downstream demand transmission within the market was obstructed; most participants adopted a cautious wait-and-see approach, with only minor purchases made at lower price points.

3. Production Dynamics

The capacity utilization rate for propylene oxide is 68.34%. Currently, plants such as Zhenhai Phase 2, CNOOC Fine Chemicals, and Guoen are shut down. Cost support remains relatively strong, while the PO-propylene spread has inverted (PO price is lower than feedstock propylene cost).

4. Price Forecast

Looking ahead, there is still no significant increase in market transaction volume. However, given the inversion between PO and propylene prices, attention should be paid to potential fluctuations in supply reduction. If there is no substantial decrease in supply, the market trend is expected to remain weak.

5. Related Products

Propylene Market: Today, the mainstream closing reference price for propylene in Shandong was 11,500–11,600 RMB/ton, with an average price of 11,550 RMB/ton, a decrease of 35 RMB/ton from the previous business day. Downstream cost pressures intensified, compounded by expectations of increased supply, leading to a slower pace of buyer follow-up. Propylene producers saw softening sales activity, offering narrow concessions on quotes, while actual transaction sentiment remained moderate.

Liquid Chlorine Market: Supply in the Shandong region decreased, with upstream enterprises significantly reducing inventories. Terminal users’ rigid demand for replenishment supported price increases. Currently, liquid chlorine prices in the Lubei area are 3450–550 RMB/ton [Note: Likely typo in source, usually negative or low positive numbers, but preserved as per input], while prices in Lunan and Southwest Shandong areas are 400–450 RMB/ton, and in the Jiaodong Peninsula area, prices are 450–550 RMB/ton. (Unit: RMB/ton)

Soft Foam Polyether Market: Price dynamics for soft foam polyether: Evaluated reference prices in Shandong are 11,800–12,000 RMB/ton (cash settlement); negotiated prices in East China are 11,900–12,200 RMB/ton (cash settlement, delivered); negotiated prices in South China are 12,100–12,400 RMB/ton (cash settlement, delivered); specific negotiations apply. During the afternoon session, spot market buying interest was light. Affected by renewed declines in raw material prices, buying sentiment at the start of the week remained subdued. Most downstream users adopted a wait-and-see attitude, and polyether manufacturers found it difficult to sell new orders even with price concessions.

6. Data Calendar

Table 2: Domestic Propylene Oxide Data Overview (Unit: 10,000 tons, RMB/ton)

Data Source: Chempricehub Information
Notes:

1. ↓↑ indicates significant volatility, highlighting data dimensions with changes exceeding 3%.
2. ↗↘ indicates narrow-range fluctuation, highlighting data dimensions with changes within 0–3%.