Propylene Glycol Market Morning Briefing (September 17, 2026)

I. Key Points

1. September 16: Multiple parties attempted to ease tensions in the Middle East, while the Federal Reserve's interest rate hike strengthened the US dollar, leading to a decline in international oil prices. NYMEX crude oil futures (October contract) fell by USD 3.40/bbl to 102.43, a week-on-week change of -3.21%; ICE Brent crude oil futures (November contract) fell by USD 2.92/bbl to 105.83, a week-on-week change of -2.69%. China INE crude oil futures (November 2026 contract) rose by CNY 2.2 to CNY 838.4/bbl, but dropped by CNY 33.6 to CNY 804.8/bbl during the night session.
2. Raw Materials: Today, major propylene oxide (PO) producers quoted new orders at CNY 12,050/ton ex-factory (T/T), remaining stable compared to the previous business day.
3. Supply: Monitor equipment status in the Shandong region.
4. Downstream Dynamics: The unsaturated resin market continued its upward trend; trading activity in the spot polyether market remained sluggish.

Core Logic: The raw material PO market maintained steady operations. Supply-side equipment remained largely stable, with active plants achieving acceptable shipment rates. With no significant inventory pressure and costs rebounding slightly, East China prices saw tentative small increases, though mainstream transaction ranges remained stable. Downstream buyers maintained a cautious sentiment. Regarding the propylene glycol (PG) market, yesterday’s negotiated transactions dropped again to phased lows. Suppliers offered discounts to facilitate shipments, and some end-users followed up on rigid demand after observing, but overall caution prevailed with strong bearish sentiment. Attention should be paid to today’s new order quotes.

II. Price Table

Notes:

1. PG and DMC are industrial grade.
2. Prices are in RMB, unit: CNY/ton.
3. PG and DMC prices are ex-factory based on bank acceptance bills; PO and polyether prices are ex-factory based on cash wire transfers; unsaturated resin prices are ex-works (factory pickup).
4. The two price periods represent point-in-time prices from the two preceding business weeks before this week, not weekly averages.
5. The change rate is the period-over-period percentage change.

III. Market Outlook

On the previous business day, PG market prices experienced a wide decline. Regarding raw materials, the PO market faces conflicting short-term bullish and bearish factors, continuing to trade sideways amid competition. For the PG market, high costs continue to provide support, but current prices are in a downward trend. Downstream buyers intend to wait for lower prices before following up. Monitor inventory levels at active plants. Overall, the domestic PG market is expected to operate weakly stable. Continue to monitor guidance from on-site equipment status and raw material prices.

IV. Data Calendar

Notes:

1. ↓↑ indicates significant fluctuation, highlighting data dimensions where the change exceeds 3%.
2. ↗↘ indicates narrow fluctuation, highlighting data dimensions where the change is within 0-3%.