- As of Monday, July 20, September 2020 PP prices on the Dalian Commodity Exchange dropped by CNY19/ton ($3/ton) as observed at 1 PM (GMT+8), open at CNY7,491/ton ($1,071/ton) by morning trading session. In response to the recent drop in futures prices, a trader based in Beijing contacted by SSESSMENTS.COM initiated a price reduction of CNY50-100/ton ($7-14/ton) on local PP Homo Raffia cargoes as compared to last week’s level. According to the trader, demand for most PP Homopolymer and Copolymer grades has dwindled in view of falling downstream consumption.
- On the supply side, market sources in China shared with SSESSMENTS.COM on the latest updates of the inventory level of the two leading polyolefins producers in the country. As of Monday, July 20, the inventory level of polyolefins at both producers stood at 780,000 tons, posting an increase of 55,000 tons from last Friday’s level. According to the sources, inventory levels have continued to build sharply as most buyers retreated to sidelines amid shrinking consumption of finished goods and most producers have started rolling off the production lines again following weeks of maintenance works.
