Crude oil dealt a heavy blow to the market at the start of July: WTI front-month futures fell 2.03%, while Brent front-month futures dropped 1.00%.
For the full month of June, WTI slumped 18.52%, marking a roughly 30% cumulative loss in Q2 — its worst quarterly performance since 2020.
The steep decline in crude oil dragged down the plastics sector, which failed to hold up.
All plastic products closed lower across the board in June with drastic losses. PP raffia topped the monthly decline chart with a plunge of 20.96%, outperforming ABS, PC, PET and other varieties by a wide margin.
Within just one month, the national average PP price tumbled from RMB 9,661/ton to RMB 7,954/ton, a drop of RMB 1,707/ton, representing an overall decline of 17.67%. South China recorded the sharpest slump, with a monthly price cut of RMB 1,833/ton, down 18.47%. PP prices fell sharply across all regions, and raw materials for downstream BOPP film also shed RMB 1,200/ton.
K8003 serves as a typical example: the grade stood at a high of RMB 9,800/ton on June 11, but has fallen to RMB 8,350/ton as of today, a plunge of RMB 1,450/ton in half a month.
Following this rapid correction, PP prices have basically returned to the range seen at the start of the year. Multiple enterprises plan to launch new PP production units in the third quarter. The speculative premium driven by market sentiment in Q2 has been completely erased.
Post time: Jul-03-2026