China Morning Snapshot: 28 March 2018

Dalian Commodity Exchange extended firm trend throughout the morning session. May delivery contract for PP added CNY30/ton ($5/ton) to CNY8609/ton ($1172/ton without VAT) and LLDPE increased CNY60/ton ($10/ton) to CNY9190/ton ($1251/ton without VAT).     

Homo-PP traded in Eastern China at CNY100/ton ($16/ton) higher day on day at CNY‎‎‎8550-8650/ton ($‎‎1164-1177/ton without VAT). LLDPE film in Northern area remains unchanged at CNY9100-9300/ton ($‎‎1238-1266/ton without VAT), all based on EXW China, cash equivalent.

Total PP and PE inventories at major domestic producers’ warehouse reduced 40,000 tons to approximate 880,000 tons as of 28 March 2018. Purchasing activities apparently wind down a little compared to the previous day, though buyers are still sourcing hand-to-mouth basis. Suppliers have been hoping for a rebound once local inventories digested, however, the firming trend might soon lose momentum given the long Tomb-sweeping holiday next week.