China Cracking C5 Market Grew Universally on Demand Support

Entering September, international crude oil prices fluctuated upwards, boosting players’ market sentiment. In addition, the environmental protection inspections came to an end. China’s cracking C5 prices increased universally.

Market trends of separation products performed relatively well, pushing up cracking C5 prices.

The DCPD market mainly held flat. The unit at Zibo Kaixin Chemical was restarted, while that at Shandong Yuhuang Chemical remained shut. Downstream UPR producers purchased on standing material need.

Piperylene prices rose sporadically. The uptrend in downstream petroleum resin market slowed down somewhat, making the price increase of piperylene limited.

Isoprene prices remained in an uptrend. The supply of spot goods was insufficient, so isoprene offers continued moving up. Mainstream dealing prices were higher from last week. Besides, producers still held bullish views towards the coming market.  

Forecast

SCI estimates that China’s cracking C5 market will fluctuate in the short term. In the long run, the cracking C5 price will show an uptrend, backed by the positive market trends of separation products.