Analysis of Development of Domestic Plastics Industry in March 2012

As of March 31, 2012, total domestic PP, PE total stocks in the major markets continued to decline, but the decline has narrowed, down 4.52% from the end of last month and 14.74% year-on-year. In terms of inventory structure, both PP and PE inventory declined this month. Among them, PP inventory decreased by 7.34% from the end of last month, a decrease of 11.09% over the same period of the previous year; PE inventory decreased by 3.62% from the end of last month, a decrease of 15.80% over the same period of last year. From the regional perspective, the north and south stocks continued to decline this month. The decline in stocks in the north increased slightly, by 4.81% from the end of last month and 20% from the same period of last year; the decrease in southern inventories decreased by 4.37% from the end of last month and by 11.63% from the same period of last year. Overall, inventory in major markets all showed a downward trend in March, but the decline slowed down.

On March 31, the China Plastics Price Index closed at 960.45 points, up 15.16 points from the end of last month. PP index closed at 1039.36 points, up 36.23 points from the end of last month; LLDPE index closed at 863.50 points, up 12.07 points from the end of last month.