March 12th Update
On March 12, Shandong Huifeng Petrochemical Co., Ltd. announced a reduction of 300 yuan/ton in the latest ex-factory price for propylene, bringing it down to 8,100 yuan/ton. The downstream 150,000-ton/year PP unit is scheduled to shut down on March 22, with the restart time yet to be determined.

Chempricehub Analysis of Propylene
Bull-Bear Score: -1.5
The reduction of 300 yuan/ton in the ex-factory price of propylene to 8,100 yuan/ton directly reflects supply-side pressure or weak demand, exerting downward pressure on spot prices. The shutdown of the downstream PP unit will reduce propylene consumption demand, reinforcing expectations of oversupply.

Combined with futures data, the settlement price of the main contract 2605 is 8,272 yuan/ton (up 668 yuan), but the new developments may lead to downward pressure and a correction in futures prices, with heightened risks of reduced demand.