Introduction: Recently, there has been a集中检修 of polypropylene units, which is counterbalanced by new production capacity, leading to manageable supply-side pressure. On the demand side, however, product manufacturers are facing insufficient orders, and end-users are struggling to support the market, resulting in ongoing contradictions in the supply-demand situation and increasing resistance to the upward movement of polypropylene prices.

Since entering the peak season, the overall operation of the demand side still appears weak, with insufficient follow-up on new orders. Although downstream production has slightly increased, it is difficult to provide strong support for the spot market. On the supply side, many new installations have been delayed and maintenance is high, leading to low capacity utilization rates. The supply and demand game still exists, and the market lacks clear signals for guidance. The polypropylene market is unlikely to find direction in the short term and may maintain a narrow fluctuation trend.

Recently, Jineng Chemical has taken offline several secondary units, Yulong Petrochemical has shut down five units, and Hengli Petrochemical has halted STPP lines for maintenance. Although the restart of previous units has caused a slight decrease in output loss, overall it remains at a high level. As of the 27th, the maintenance loss was 156,120 tons, a decrease of 2.33% compared to last week. During the week, polypropylene production was 732,000 tons, a decrease of 600 tons from last week's 732,600 tons, reflecting a drop of 0.08%, which is still significantly higher than the same period last year.

Currently, downstream operations are relatively stable, with an average operating rate of 50.43% in the downstream industries for the week. The raw material end of the PP market has not changed much, providing limited cost support for products. On the demand side, with the temperature rising in spring, residents are increasing their daily travel, which boosts consumption in areas such as food, beverages, disposable hygiene products, and daily necessities. Policies like trade-in subsidies are driving some downstream demand, but export orders are constrained by the expectation of increased tariffs overseas, limiting demand from some downstream manufacturers. Overall, the demand side offers limited support for the polypropylene market.

Overall, the current spot market for polypropylene is showing a cautious trend. The supply side is in a production lull, and with many maintenance shutdowns scheduled for April, the pressure from supply increases has been alleviated to some extent. However, the demand recovery during the peak season has not shown significant improvement and is unlikely to sustain, compounded by factories' low acceptance of high-priced sources, which may suppress the upward price potential on the demand side. It is expected that the polypropylene market will maintain a fluctuating trend in the short term, with an upward expectation in the future.