In October, the Shandong LPG civilian market rose and fell, but overall declined. According to data monitoring by SunSirs, the average price of LPG in the civilian Shandong market was 5,246 RMB/ton on October 1st, and 5,146 RMB/ton on October 28th. The monthly decline was 1.01%, a decrease of 4.84% compared to the same period last year.

In October, the LPG market experienced an abnormal decline during the peak season, and after experiencing a brief rise after the National Day holiday, it entered a downward pattern. After the holiday, the on-site transportation capacity gradually recovered, and the downstream stage replenishment led to a brief rise in prices. Subsequently, due to the impact of low-priced supply at the port, LPG shipments were not smooth, inventory increased, and prices shifted from rising to falling. Starting from late October, the overall focus of the market has shifted downwards, with insufficient support for the demand side, especially the insufficient switching of chemical PDH devices, which has suppressed demand.

In October, the LPG futures market fluctuated and fell. There were few domestic maintenance devices in October, and after some refinery maintenance devices were gradually restored in the early stage, they basically entered a stable operation stage. Therefore, the supply of LPG commodities has shown an upward trend. However, the weak demand for terminal combustion led to a lack of enthusiasm for downstream procurement, resulting in a downward trend in the market in October.

Overall, the current market has sufficient supply, but due to demand constraints, there is insufficient upward momentum. On the contrary, due to the impact of low-priced related products, it is expected that the LPG market will mainly undergo a narrow adjustment in the short term.

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