In the peak season of September, propane Market showed a fluctuating downward trend, showing a weak market in peak season. According to the data monitoring of the business agency, the average price of propane Market on September 1 was 3457.50 yuan / ton, and the average price on 30 days was 3277.50 yuan / ton. In September, the average price was 5.21%, 16.50% lower than that of the same period last year.

In September, the center of gravity of propane Market moved down as a whole, with a continuous decline in the first ten days, and many rebounds were blocked in the middle of September, and then the decline was again out of the trend in the last ten days. Compared with previous years, this year’s market is not optimistic. One of the main reasons for the sluggish peak season is the pressure of international crude oil. The trend of international crude oil in September is uncertain, mainly falling below. The news is bad for the market mentality. The civil gas market follows the trend and propane falls significantly. Secondly, propane remained stable after the introduction of CP price in September, which supported the spot market, but the positive effect was limited. The most important point is the demand side. Due to the slow growth of terminal demand in September, although the weather has cooled down, the overall demand has not been significantly improved, and the market is still in a weak state. The downstream market entry enthusiasm is general, the mentality is cautious, and multi-dimensional periodic replenishment operation is maintained.

In the middle of June, the market rebounded periodically, mainly driven by the rise of international crude oil, but the negative factors still remained in the market. With the fall of crude oil price, propane rose powerless and fell again. Until the end of the month, the propane market continued to decline. Due to the proximity of the double festival, the demand of manufacturers to arrange warehouses before saving, and the concentration of ports on ships at this stage has brought obvious pressure on the market, and the situation of manufacturers’ shipment is relatively weak. Continuous profit sharing is the main stimulation for downstream market entry.

As of September 30, the mainstream prices of propane in different regions in China are as follows:

Regional specification September 30

Propane in East China,% (V / V) not less than: 952900-3300 yuan / ton

Propane in North China,% (V / V) not less than: 953250-3400 yuan / ton

Propane in Shandong area,% (V / V) not less than: 953200-3300 yuan / ton

Propane in South China,% (V / V) not less than: 952900-3020 yuan / ton

Propane in Central China,% (V / V) not less than: 953150-3300 yuan / ton

Propane in Western China,% (V / V) not less than: 953130-3150 yuan / ton

In terms of international market, Saudi Aramco released CP in October 2020, with propane at 375 USD / T, up by 10 USD / T compared with last month, and butane at 380 USD / T, up by 25 USD / T compared with last month.

In October, the CP price was introduced, and the propylene butane increased, bringing obvious support to the market. And with the arrival of silver 10, the weather gradually turns cold, and the downstream demand is still expected to improve. Due to the sluggish peak season in September, the market price of propane has been at a relatively low level. With the downstream replenishment after the festival, the manufacturers’ shipment situation is expected to be good, and it is expected that propane may still rise in October.