SunSirs: China BR Prices Cut by 800 RMB/ton

On April 20, the PetroChina Northeast Sales Company announced its latest price adjustment for BR, implementing a reduction of 800 RMB per ton. Currently, the ex-factory price for BR from the Daqing and Jinzhou plants stands at 17,200 RMB per ton (based on warehouse pickup in the Northeast region).

PetroChina Northeast Sales Company's decision to lower its ex-factory price for BR by 800 RMB/ton—bringing it down to 17,200 RMB/ton—signals either a market supply surplus or weak demand, constituting a significant bearish factor for spot market prices. When viewed alongside futures data for BR (a commodity category that includes the product in question), recent benchmark contracts—such as the 2605 contract (which closed at 15,950 RMB/ton on April 17, down 215 RMB)—have already exhibited a downward trend. This latest news is likely to intensify the downward pressure on futures prices, as the reduction in spot prices directly undermines support levels for futures contracts; consequently, short-term contracts are expected to continue their decline.