China Jan PO prices hit annual high on tight supply

In January 2026, China's PO prices surged to a yearly high. Tight supply, due to plant maintenance and lower operating rates, along with export tax rebate policies that spurred polyether demand, jointly drove the increase. Looking ahead, slow supply recovery and fading policy-driven demand are expected to keep PO prices moving higher around Yuan 8,000-8,600/t.

China's propylene oxide (PO) prices climbed steadily and breaking above the previous annual high in January. As of January 14, spot EXW prices in Shandong reached Yuan 8,300/tonne, while delivered prices in East China were quoted at Yuan 8,475/t, up 7.79% and 7.28% respectively from early January, surpassing the