Price trend

According to the commodity market analysis system of SunSirs, the domestic propylene (Shandong) market rose first and then fell in October. At the beginning of November, the market was average at 7,050 RMB/ton. On November 28th, the average price was 7,083 RMB/ton, with a monthly increase of 0.46%, and a decrease of 1.75% compared to the same period last year.

Analysis review

After experiencing a wave of gains in November, the domestic propylene market entered a downward pattern. At the beginning of the month, the downstream polypropylene market improved, and the price difference between propylene and it widened, driving the downstream to actively enter the market. At the same time, some upstream devices were shut down, resulting in a decrease in supply, and the propylene market was actively pushing up. Subsequently, the price of propylene rose to a high level, and downstream profit margins decreased, leading to a boycott mentality and a strong wait-and-see atmosphere. In order to stimulate sales in the upstream, price reduction and inventory reduction were the main measures.

Cost side: In November, upstream propylene products mainly increased, with significant cost support. Downstream products fluctuated, and the main downstream polypropylene remained weak, with average purchasing power, which hindered the propylene market.

Market outlook

SunSirs’ Propylene Analyst believes that overall, the propylene market supply and demand were stable, and it is expected that propylene will operate steadily in the short term.

If you have any questions, please feel free to contact SunSirs with support@SunSirs.com.