Prices of Resins Changed Differently   

Polyethylene   

In early August 2007, due to the low operating rate in downstream plants, the demand was slack, and the offer price of LLDPE (linear low density polyethylene) decrease with few trading actions. The offer price of HDPE (high density polyethylene) was stable and due to the overhaul of PE unit in CNPC Daqing Petrochemical Co., Ltd., the supply was tense in some local regions.
    In mid-August 2007, the price of LLDPE was stable. With the PE unit in CNPC Daqing Petrochemical going on stream, the offer price of PE film materials in some local regions dropped slightly. In eastern China, due to the tense supply, the price of HDPE rose slightly.
    At the end of August 2007, due to the slack demand in downstream sectors, the offer price of LLDPE continued to be down. The offer price of HDPE went up in response to the tense supply.
    As of August 28th, 2007 in eastern China, the bulk trading price of LDPE was at RMB12 450-14 400/t, an increase of RMB150-210/t over in the preceding month, and HDPE filament materials were traded at RMB12 300-12 700/t, a rise of RMB200/t.
    In September 2007, due to the tense supply and high production cost, the price of LLDPE will unlikely to drop further and the price of HDPE will rise slightly.

Polypropylene

In early August 2007, due to the slack demand in downstream sectors, the price of polypropylene (PP) remained at relatively low level.
    In mid- August 2007, the price of PP fluctuated slightly. In northern China, the price remained stable, and in southern China, the price rose RMB50/t in response to the tense supply.
    At the end of August 2007, due to the tense supply, the price of PP in northern China went up RMB50/t. In East China, the supply was sufficient and the price remained stable.
    As of August 28th, 2007 in eastern China, the bulk trading price of PP filament materials was at RMB12 100-12 300/t, an increase of RMB150-200/t over the same period of the preceding month.
  In September 2007, the supply and demand will be basically balanced, and the price of PP therefore will fluctuate slightly.

Polystyrene

In early and mid-August 2007, due to the price decrease of styrene and the slack demand for PS (polystyrene), the price of PS dropped slightly with few trading actions.
    At the end of August, after some domestic PS producers slightly lowered their ex-work prices because of the constant price drop of styrene and softening demand in downstream sectors, the price of PS gradually tended to be stable.
    As of August 28th, 2007 in East China, the bulk trading price of GPPS (general purpose polystyrene) was at RMB12 850-13 750/t, a drop of RMB600/t from the same period of last month, and HIPS (high impact polystyrene)was traded at RMB13 150-14 000/t, a decrease of RMB400-500/t.
    In September 2007, the demand for PS will be soft, but due to the high production cost, the price of PS will stay at the present level.

Polyvinyl chloride

In early August 2007, due to the high prices of PVC (polyvinyl chloride) in the international market and the tense supply in domestic market, China's prices of PVC went up. The price of PVC using calcium carbide process rose RMB250-300/t and the price difference of PVC between the ethylene process and the calcium carbide process decreased from RMB750/t in July 2007 to RMB300/t.
    In mid- August 2007, the price of PVC using the ethylene process rose slightly and reached RMB8 250-8 400/t. In spite of constant price rise, there were few trading actions
    At the end of August 2007, the price of PVC using calcium carbide process came down apparently, and the price of ethylene process PVC remained stable. In eastern China and southern China, the price of PVC using calcium carbide process decreased to RMB7 650-7 750/t and RMB7 750-7 900/t respectively.
　　In September 2007, due to the high cost, the price of PVC will unlikely to drop drastically. If the tense supply of calcium carbide is more serious, pulled by the increase of cost, the price of PVC will probably rebound.