Propylene prices moved lower in the Chinese market on Wednesday, reflecting persistent softness in regional demand, while values in neighboring South Korea held steady. Market participants said the downward trend in China underscored lingering concerns over slow downstream consumption and cautious purchasing activity.
CFR China propylene was assessed at USD 795–805 per metric ton, a day-on-day decline of about USD 5/mt, according to trade sources. “Prices edged lower on the back of bearish regional buying sentiment,” an industry source in Asia told a team member, noting that converters and traders continue to adopt a wait-and-watch approach amid volatile market signals and subdued end-user orders.
In contrast, FOB Korea propylene prices were unchanged, remaining at USD 765–775/mt, as balanced supply and demand conditions helped keep the market stable.
Adding to the market narrative, there are reports that Hebei Haiwei Group restarted its propane dehydrogenation (PDH) facility around September 15, 2025, following a maintenance shutdown that began at the end of August. While an official confirmation is yet to be released, industry contacts say the plant, located in Hebei, China, has a propylene production capacity of 500,000 mt per year, making it a significant player in the regional supply chain.
Traders and analysts will be watching closely to see whether the plant’s return to operation tempers prices further in the coming weeks, particularly if downstream demand fails to pick up as the fourth quarter approaches.
