Fundamentals Remain Weak, Polyethylene Continues to Show Weakness

December 8th News

According to the commodity market analysis system, the average price of LLDPE (7042) on December 1st was 6,905 CNY/ton, and on December 5th it was 6,845 CNY/ton, a decrease of 0.87%. The average price of LDPE (2426H) on December 1st was 9,000 CNY/ton, and on December 5th it was 8,500 CNY/ton, a decrease of 1.11%. The average price of HDPE (2426H) on December 1st was 7,387 CNY/ton, and on December 5th it was 7,312 CNY/ton, a decrease of 1.02%.

Recently, polyethylene remains weak. The supply of polyethylene continues to increase, with high inventory levels, and there are not many planned maintenance facilities in December. Demand is lackluster, with companies mostly purchasing as needed, showing low enthusiasm for receiving goods, and maintaining a cautious and wait-and-see attitude. Overall, the operating rates of downstream enterprises have declined. The demand for greenhouse films is gradually decreasing, the improvement in demand for ground films is limited, and the packaging film industry is in the off-season. Without any positive news to stimulate the market, the fundamentals are weak, and market confidence is insufficient. It is expected that the weakness of polyethylene will continue.