Recently, Wanhua Chemical announced that the first-phase 1-million-ton-per-year ethylene plant at its Yantai Industrial Park began shutdown on June 3, 2025, for feedstock diversification modifications. As of now, the feedstock modification for this first-phase ethylene plant has been fully completed, switching to ethylene production via ethane cracking, and qualified products have already been produced. This has achieved a flexible feedstock mode that allows switching between ethane and propane.

PriceSeek Analysis
Ethylene, Bull-Bear Score: -1
Following the modification of Wanhua Chemical's ethylene plant, supply has increased. With a capacity of 1 million tons per year already producing qualified products, market oversupply is expected, putting downward pressure on spot prices.

Ethane, Bull-Bear Score: 1
Demand for ethane as a feedstock for ethylene production has risen. The flexible feedstock mode has increased procurement volumes, and spot prices are expected to rise due to growing demand.

Propane, Bull-Bear Score: 1
Demand for propane as a feedstock for ethylene production has increased. The feedstock diversification modifications are driving demand, and spot prices are expected to trend higher.