This week the domestic PE market as a whole continued the downward trend, the overall market trading atmosphere did not improve. As of March 24th, the average price of LLDPE 7042 ex-factory in East China was RMB 6400/ton, down 3.52% from the beginning of the week.The average price of LDPE 2426H ex-factory in East China was about RMB 7412.5/ton, down 2.31% from the beginning of the week. HDPE 5000S ex-works average price in East China was RMB 6883.33/mt, down 3.5% from the beginning of the week. This week, the three major PE varieties fell 0-400 yuan / ton.

The entire PE market continued to fall this week, with petrochemical equipment prices continuing to fall and market cost support weakening. Plastic futures market fell sharply this week, market sentiment pressure is obvious. Due to pessimism, sellers continued to block deliveries and overall quotes fell. The downstream side continued to maintain a wait-and-see attitude. In addition to some factories restocking based on demand, there were fewer market inquiries and market sentiment continued to be weak.

Plastic prices fell overall this week. March 27, polyethylene futures L2005 opening price of 5795, the highest 5820, the lowest 5560, closing price of 5650, settlement price of 5890, settlement price of 5685, down 240, down 4.07%. Volume 418,489 hands, 152,270 hands, an increase of 18,223 hands (quoted unit: yuan / ton).

As of February 27, the total output of domestic polyethylene enterprises was 1.41 million tons, a decrease of 252,300 tons compared with January. HDPE production of 578,900 tons, LDPE production of 206,800 tons, LLDPE production of 624,300 tons.

Market forecast: International crude oil trend is weak, futures prices plummeted, the market is under pressure. Most of the petrochemical companies to reduce the ex-works price, the market cost support weakened. Downstream is currently in a cautious state. In addition, what factories have to do is to wait until they receive the goods. Petrochemical inventories are currently at a high level and selling pressure still exists. It is expected to remain weak in the future.

If you have any questions, please feel free to contact toodududu (tdd-global@toodudu.com).