CP in December, 2023 : 615 USD/t (± 0 USD from November)
C3 : USD 610 (± 0) / C4 : 620 (± 0)
CP prices in December landed at the same price as the November CP prices. The background to the price decision is that the demand for LPG heating in the Far East area is increasing as the winter demand season approaches but propane demand from PDH plants in China was sluggish due to an oversupply of propylene, and the demand for butane was also sluggish due to continued decline in the naphtha market.
Additionally, due to an increase in crude oil inventories in the US, the November WTI average was approximately USD 8.28 lower than the October average.
In the end, the CP price remained unchanged at ± 0 USD/t, propane 610 USD/t, butane 620 USD/t, and the price difference between propane and butane was 10 USD/t, the same as last month.
Our view on future CP trends is expected to rise in January next year because the OPEC+ ministerial meeting is considering widening the range of crude oil production cuts and extending the period of production cuts, as freight prices will rise due to restrictions on the number of ships passing through the Panama Canal, which will benefit LPG produced in the Middle East destined for Asia.
※Our view is only our opinion and do not guarantee CP trends.
