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April 10 2025 15:48:28     SunSirs (John)

Price trend

According to the Commodity Market Analysis System of SunSirs, the PP market fluctuated in early April, with prices of some brand products fluctuating. As of April 9th, the mainstream offer price for wire drawing by domestic producers and traders was around 7,623.33 RMB/ton, a rise or fall of 0.62% compared to the price level at the beginning of March.

Analysis review

In terms of raw materials:

In early April, the US tariff policy was implemented, and the tax rate was raised to an unprecedented level. The tariff trade war launched by Trump has had a huge impact on the global economy. Crude oil, as a heavily affected area, has experienced a sharp drop in prices recently. Propylene continued to show a weaker trend. Overall, the prices of various raw materials in early April did not provide strong support for the cost of PP..

Supply side:

In early April, the load of domestic PP enterprises remained stable with small fluctuations, and the market supply remained generally abundant. Overall, the industry's overall load level has remained relatively stable compared to the end of last month, maintaining around 76%, and the domestic weekly average production of about 730,000 tons has also remained flat. Although it was still in the stage of capacity implementation in the recent times, Yangzi Petrochemical and Ningbo Jinfa, which implemented maintenance in the first ten days, have lost production capacity. Compared with the production capacity returned by Baofeng and Dushanzi Petrochemicals in Inner Mongolia, the overall outlook for the future is expected to increase supply. The supply side has expectations of a weakened support for PP spot prices.

In terms of demand:

In early April, the demand for PP was basically flat, with on-site insurance and holding of essential needs. In terms of plastic weaving, the consumption level of terminal enterprises has generally stabilized. The demand for PP in fields such as architecture and agriculture was slowly increasing with the warming temperatures. However, tariff trade barriers have had a huge impact on the global economy, increasing uncertainty in the future. Buyers tended to maintain production through scattered small orders, and although there has been no significant increase in new orders in the market. Overall, the demand side of PP showed cautious performance in April.

Market outlook

In early April, the domestic PP market prices fluctuated. From a fundamental perspective, the overall performance of upstream raw materials in supporting PP was average, the industry's supply was stable with an increasing trend, and there was strong demand support in the consumption sector, resulting in a market supply-demand game. In the short term, the market is concerned about tariffs and the shipment of goods, with expectations of reduced on-site consumption, and price trends may be mainly consolidated.

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