Report Summary 1. Report Industry Investment Rating No information provided. 2. Core Viewpoints - PG main contract fluctuates upward. The basis is -69 (-49), the 11 - 12 spread is 90 (-47), and the 12 - 01 spread is 113 (-1). Domestic civil gas prices have dropped significantly. The cheapest deliverable is East China civil gas at 4279 (-66); Shandong is at 4360 (+160), and South China is at 4405 (-55). [4] - Outer - market prices have risen sharply; FEI spread is -6.25 USD (+3.75), CP spread is -8 USD (-4). PG - CP reaches 114 (-17); PG - FEI reaches 79 (-33). FEI - CP reaches 35 (+15). The US - Asia arbitrage window is open. [4] - PDH profit declines. Arrivals are at a low level, external supply decreases, and both port and factory inventories have decreased; chemical demand provides support, and the expectation of combustion demand is warming up. [4] 3. Summary by Relevant Catalogs Daily Changes - On Wednesday, the decline of civil gas continued. East China was at 4274 (+0), Shandong at 4270 (+10), and South China at 4400 (+0). Ether - post carbon four was at 4370 (-30). The lowest delivery location was Shandong, with a basis of -109 (-27), the 11 - 12 spread of 74 (+15), and the 12 - 01 spread of 87 (-17). FEI and CP increased to 512 (+11) and 466 (+4) USD/ton respectively. [4] Weekly Views - The PG main contract fluctuates upward. The basis, spreads, domestic civil gas prices, outer - market prices, spreads between different benchmarks, and the status of arbitrage windows have changed as described above. [4] - PDH operating rate is 71.66% (+2.9 pct) due to the restart of Hebei Haiwei and the increased load of Wanda Tianhong, but Zhongjing Phase II has shut down again. Lihuayi Weiyuan is expected to resume next week. [4] - Overall, with no pressure on inventory and increased downstream purchasing willingness, spot prices are expected to rise slightly. Propane is still greatly affected by the China - US tariff policy. [4]

Report Summary 1) Report Industry Investment Rating No information provided. 2) Core View of the Report - The PG main contract fluctuated upwards. The basis was -69 (-49), the 11 - 12 spread was 90 (-47), and the 12 - 01 spread was 113 (-1). Domestic civil gas prices dropped significantly. The cheapest deliverable was East China civil gas at 4279 (-66), Shandong at 4360 (+160), and South China at 4405 (-55). With no pressure on inventory and an increase in downstream purchasing willingness, spot prices are expected to rise slightly. Propane is still greatly affected by the Sino - US tariff policy, and cautious participation is recommended. [4] 3) Summary by Relevant Content Daily Changes - On Monday, the decline of civil gas continued. In East China, it was 4282 (+3), in Shandong 4270 (-90), and in South China 4410 (+5). Ether - after carbon four was 4430 (-40). The lowest delivery location was Shandong, with a basis of -83 (-14), the 11 - 12 spread was 80 (-10), and the 12 - 01 spread was 106 (+1). FEI and CP increased to 495 (+3) and 458 (+4) dollars/ton respectively. [4] Weekly View - The PG main contract fluctuated upwards. The basis was -69 (-49), the 11 - 12 spread was 90 (-47), and the 12 - 01 spread was 113 (-1). Domestic civil gas prices dropped significantly. The cheapest deliverable was East China civil gas at 4279 (-66), Shandong at 4360 (+160), and South China at 4405 (-55). There were 2416 lots of warehouse receipts, including 2300 from Wanhua, an increase of 64 from Yunda, and an increase of 52 from Haiyu Petrochemical. The overseas market prices rose sharply. The FEI spread was -6.25 US dollars (+3.75), and the CP spread was -8 US dollars (-4). PG - CP reached 114 (-17), PG - FEI reached 79 (-33), and FEI - CP reached 35 (+15). The US - Asia arbitrage window opened. The CP South China CIF discount was 74 (-4). The freight from the US Gulf to Japan was 116 (+0), and from the Middle East to the Far East was 56 (-4). The FEI - MOPJ decreased but the switching window was still open, at -82.5 (-11.5). PDH profit decreased. The arrival volume was at a low level, the external release decreased, and both port inventory and factory inventory decreased. Supported by chemical demand and with the expectation of a recovery in combustion demand, the PDH operating rate was 71.66% (+2.9pct) due to the restart of Hebei Haiwei and the increased load of Wanda Tianhong, but Zhongjing Phase II shut down again. Lihuayi Weiyuan is expected to resume next week. [4]

Report Summary 1. Report Industry Investment Rating - Not provided in the given content 2. Core View of the Report - The PG main contract fluctuated upward. The domestic civil gas price dropped significantly. The cheapest delivery product was East China civil gas. The warehouse receipt was 2416 lots. The overseas price soared. The PDH profit decreased. The arrival was at a low level, the external release decreased, and both port inventory and factory inventory decreased. With chemical demand support and the expectation of warming combustion demand, it is expected that the spot will maintain a slight increase. Propane is still greatly affected by the Sino - US tariff policy, and cautious participation is recommended [4] 3. Summary by Relevant Catalog 3.1 Daily Changes - On Friday, civil gas continued to rebound slightly. East China was 4279 (+12), Shandong was 4360 (+20), and South China was 4405 (+5). Ether - after carbon four was 4470 (+30). The lowest delivery location was East China, with a basis of - 94 (-45), and the November - December spread was 68 (-52). FEI and CP increased, reaching 492 (+6) and 455 (+1) US dollars per ton respectively [4] 3.2 Weekly View - The PG main contract fluctuated upward. The basis was - 69 (-49), the November - December spread was 90 (-47), and the December - January spread was 113 (-1). The domestic civil gas price dropped significantly. The cheapest delivery product was East China civil gas at 4279 (-66); Shandong was 4360 (+160), and South China was 4405 (-55). There were 2416 lots of warehouse receipts, including 2300 from Wanhua, 64 more from Yunda, and 52 more from Haiyu Petrochemical. The overseas price soared; the FEI monthly spread was - 6.25 US dollars (+3.75), and the CP monthly spread was - 8 US dollars (-4). PG - CP reached 114 (-17); PG - FEI reached 79 (-33). FEI - CP reached 35 (+15). The US - Asia arbitrage window opened. The CP South China arrival discount was 74 (-4). The freight from the US Gulf to Japan was 116 (+0), and from the Middle East to the Far East was 56 (-4). The FEI - MOPJ decreased but the switching window was still open, with the latest at - 82.5 (-11.5). The PDH profit decreased. The arrival was at a low level, the external release decreased, and both port inventory and factory inventory decreased; supported by chemical demand and with the expectation of warming combustion demand. The PDH operating rate was 71.66% (+2.9 pct) due to the restart of Hebei Haiwei and the increased load of Wanda Tianhong, but Zhongjing Phase II shut down again. Next week, Lihuayi Weiyuan is expected to resume. Overall, there is no pressure on inventory, the downstream purchasing willingness has increased, and it is expected that the spot will maintain a slight increase [4]

Group 1: Report's Core View - The PDH profit improvement may lead to increased demand for CP cargo purchases. One can focus on narrowing the PDH profit, but be aware of the risk of the low - opening of the end - of - month CP official price [1] Group 2: Market Data and Changes Daily Changes - On Thursday, civil gas prices declined. In East China, it was 4369 (-5), in Shandong 4280 (-70), and in South China 4500 (-30). Ether - post carbon four was 4460 (+0). The lowest delivery location was Shandong, with a basis of 28 (-174), and the November - December spread was 137 (+8). FEI and CP increased to 474 (+8) and 450 (+1) dollars per ton respectively [1] - The PG futures price dropped significantly. The cheapest deliverable was East China civil gas at 4384 (+21); in Shandong it was 4450 (-100), and in South China 4570 (-70). The basis was 314 (+188), and the November - December spread was 78 (+0). Warehouse receipts were cancelled to zero in September. The October CP official price opened low at 495/475, the lowest in two years, 40 - 60 dollars lower than expected. The FEI monthly spread was - 15 dollars (-8.5), and the CP monthly spread was - 8.75 dollars (+0.25). The domestic - foreign price difference PG - CP reached 108 (+3); PG - FEI reached 101 (+13). FEI - CP was 7.5 (-10). The US - Asia arbitrage window closed. AFEI was at a discount of - 18.75, and the South China CIF discount was 52. Freight rates dropped significantly, with the US Gulf - Japan at 126 (-5) and the Middle East - Far East at 63 (-5.5). The FEI - MOPJ spread widened significantly to - 83 (-28) [1] Market Conditions - The inventory pressure is small, the supply is abundant, the chemical demand provides strong support, and the combustion demand is gradually picking up. The PDH operating rate is 70.88% (-1.64pct), with some plants like Haiwei, Lihuayi Weiyuan, and Tianjin Bohua shut down, and Zhongjing is expected to resume next week [1]

Report Summary 1) Report Industry Investment Rating - Not provided 2) Core Viewpoints - DH profit improvement may lead to increased demand for CP cargo purchases. Consider narrowing PDH profit, but be aware of the risk of a low CP official price at the end of the month [1] - The PG market has declined significantly. The cheapest deliverable is East China civil gas. The basis and 11 - 12 month spread have changed. Warehouse receipts were cancelled to zero in September. The October CP official price was the lowest in two years [1] - The inventory pressure is small, supply is abundant, chemical demand provides strong support, and combustion demand is gradually recovering. PDH operating rate has decreased, and some plants have shut down with one expected to resume next week [1] 3) Summary by Related Content Price Changes - **Daily Changes**: On October 15, compared with the previous day, civil gas prices in East China decreased by 9 to 4374, in Shandong by 90 to 4350, and remained unchanged in South China at 4530. Ether - post - carbon four decreased by 20 to 4460 [1] - **Weekly Changes**: PG prices in different regions changed. The basis and 11 - 12 month spread changed. FEI and CP had small fluctuations. PDH profit, inventory, and supply - demand situations also had corresponding changes [1] Market Indicators - **Price and Spread**: The 10 - month CP official price was 495/475, the lowest in two years, 40 - 60 dollars lower than expected. FEI and CP month spreads, and various internal and external spreads (PG - CP, PG - FEI, FEI - CP) changed [1] - **Arbitrage Window**: The US - Asia arbitrage window is closed. AFEI and CP South China arrival discounts are given. Freight rates have dropped significantly [1] - **Profit**: PDH propylene production spot profit changed little, and PP production profit rebounded from a low level [1] - **Inventory and Supply - Demand**: Inventory pressure is small, supply is abundant, chemical demand provides strong support, and combustion demand is gradually recovering. PDH operating rate is 70.88% (-1.64pct) [1]

Report Summary 1) Report Industry Investment Rating No information provided. 2) Core Viewpoint The current PG basis is high, FEI and CP valuations are low. The Sino - US tariff truce agreement will expire on November 10th. With low inventory pressure, abundant supply, strong chemical demand support, and gradually warming combustion demand, the improvement of PDH profit may lead to the purchase demand for CP goods. The report suggests paying attention to narrowing PDH profit, but also warns of the risk of the low - opening of the end - of - month CP official price [1]. 3) Summary by Relevant Catalog Daily Changes - On October 14, 2025, civil gas prices declined in different regions: in East China to 4383 (-3), in Shandong to 4440 (-10), and in South China to 4530 (-30). The price of ether - post carbon four remained at 4480 (+0). The lowest delivery location was East China, with a basis of 240 (-6), and the November - December spread was 150 (-43). FEI and CP decreased to 465 (-20) and 449 (-22) dollars/ton respectively [1]. - The PG futures price dropped significantly. The cheapest delivery product was East China civil gas at 4384 (+21); Shandong was at 4450 (-100), and South China was at 4570 (-70). The basis was 314 (+188), and the November - December spread was 78 [1]. Weekly Viewpoint - The South China arrival discount was 52. Freight rates dropped significantly: from the US Gulf to Japan to 126 (-5), and from the Middle East to the Far East to 63 (-5.5). The FEI - MOPJ spread widened significantly to -83 (-28) [1]. - Some enterprises such as Weilian Chemical, Lihuayi Weiyuan, and Tianjin Bohua stopped production, and Zhongjing is expected to resume next week. The PDH plant operating rate was 70.88% (-1.64pct), and the PDH - to - propylene spot gross profit was +0. Warehouse receipts were cancelled to zero in September. The October CP official price opened low at 495/475, the lowest in two years, 40 - 60 dollars lower than expected [1]. - The FEI monthly spread was -15 dollars (-8.5), and the CP monthly spread was -8.75 dollars (+0.25). The internal - external price difference PG - CP reached 108 (+3); PG - FEI reached 101 (+13). FEI - CP was 7.5 (-10). The US - Asia arbitrage window was closed. The AFEI discount was -18.75, and the CP changed little; the profit of producing PP rebounded from a low level [1].

Report Overview - The report is an LPG morning report released by the Energy and Chemicals Team of the Research Center on October 14, 2025, providing daily and weekly data on LPG market [1]. Key Data and Changes Price Changes - On October 14, 2025, compared with the previous day, the prices of civil LPG in different regions showed mixed trends: in East China, it was 4386 (+2); in Shandong, it was 4450 (+0); in South China, it was 4560 (-30). The price of ether - post - carbon four was 4480 (-110) [1]. - The lowest delivery location was East China, with the latest basis at 265, and the spread between November and December was 136 (+29) [1]. - FEI and CP dropped significantly, with the latest prices at 470 and 452 US dollars per ton respectively [1]. PG Market Changes - The PG futures price dropped significantly. The cheapest deliverable was East China civil LPG at 4384 (+21); Shandong was 4450 (-100); South China was 4570 (-70). The basis was 314 (+188), and the spread between November and December was 78 (+0) [1]. - The warehouse receipts were cancelled to zero in September. The official price of CP in October opened low at 495/475, the lowest in two years, 40 - 60 US dollars lower than expected [1]. - The FEI monthly spread was -15 US dollars (-8.5), and the CP monthly spread was -8.75 US dollars (+0.25) [1]. - The internal - external price difference: PG - CP reached 108 (+3); PG - FEI reached 101 (+13). FEI - CP was 7.5 (-10). The US - Asia arbitrage window was closed [1]. - AFEI was at a discount of -18.75, and the South China CIF discount was 52. Freight rates dropped significantly, with the US Gulf - Japan at 126 (-5) and the Middle East - Far East at 63 (-5.5). The FEI - MOPJ spread widened significantly to -83 (-28) [1]. PDH Profit - The spot profit of PDH to produce propylene changed little; the profit of producing PP rebounded from a low level. The PDH operating rate was 70.88% (-1.64 pct), with Haiwei, Li Huayi Weiyuan, and Tianjin Bohua shut down, and Zhongjing expected to resume next week [1]. Core View - The LPG market shows that inventory pressure is small, supply is abundant, chemical demand provides strong support, and combustion demand is gradually picking up. With the current high PG basis, low FEI and CP valuations, and the expiration of the China - US tariff truce agreement on November 10, the improvement of PDH profit may lead to an increase in the demand for CP cargo purchases. It is advisable to pay attention to narrowing the PDH profit, but be aware of the risk of the low - opening of the official CP price at the end of the month [1]

1. Report Industry Investment Rating - Not provided in the given content 2. Core View of the Report - The current PG basis is high, FEI and CP valuations are low. The Sino - US tariff truce agreement will expire on November 10th. The improvement of PDH profit may lead to the purchase demand for CP cargo. One can focus on narrowing PDH profit, but should be aware of the risk of a low - opening CP official price at the end of the month [1] 3. Summary According to the Catalog Price and Basis Information - On Friday, for civil gas, prices had both increases and decreases: East China was 4384 (+4), Shandong was 4450 (+20), and South China was 4590 (-10). Ether - post carbon four was 4590 (-30). The lowest delivery location was East China, with a basis of 314 (+6), and the November - December spread was 78 (-16). FEI and CP decreased slightly, at 498 (-2) and 472 (-1) dollars/ton respectively [1] - The PG futures price dropped significantly. The cheapest delivery product was East China civil gas at 4384 (+21); Shandong was 4450 (-100), South China was 4570 (-70). The basis was 314 (+188), and the November - December spread was 78 (+0). Warehouse receipts were cancelled to zero in September. The October CP official price opened low at 495/475, the lowest in two years, 40 - 60 dollars lower than expected [1] Spread and Arbitrage Information - The internal - external spreads were as follows: PG - CP reached 108 (+3); PG - FEI reached 101 (+13). FEI - CP was 7.5 (-10). The US - Asia arbitrage window was closed. AFEI was at a discount of - 18.75, and the South China arrival discount was 52 [1] Freight and Margin Information - Freight rates dropped significantly: US Gulf - Japan was 126 (-5), Middle East - Far East was 63 (-5.5). The FEI - MOPJ spread widened significantly to - 83 (-28). The spot profit margin of PDH to propylene changed little; the profit of producing PP recovered from a low level [1] Inventory and Demand Information - Inventory pressure was small, supply was abundant, chemical demand provided strong support, and combustion demand was gradually picking up. The PDH operating rate was 70.88% (-1.64pct), with Haichang, Lihuayi Weiyuan, and Tianjin Bohua shut down, and Zhongjing expected to resume next week [1]

Report Industry Investment Rating - Not provided in the report Core Views - In Q4, both domestic and overseas supply of LPG remains resilient, while the demand side faces greater challenges [1] - The price range for Q4 is estimated to be between 3,800 - 4,600 yuan/ton [2] - Recommended strategies include range - trading for single - side operations, selling near - term contracts and buying far - term contracts at high prices for monthly spreads, and buying overseas and shorting domestic at low prices for the domestic - overseas spread [3] Summary by Relevant Catalogs Chapter 2: Market Review - In Q3, the domestic LPG price showed a pattern of first falling and then rising, affected by the crude oil market and a large number of warehouse receipts. The main contract price dropped from 4,500 yuan/ton to 3,770 yuan/ton, and the overseas CP contract price dropped from $600/ton in June to $520/ton in September [4][5] - From April to September this year, the domestic PG warehouse receipt volume was continuously at a seasonal high. Near - month prices were suppressed, the basis was mostly at a seasonal high, and the monthly spread was in a contango pattern, with the 9 - 10 spread reaching a minimum of about - 720 yuan/ton [8] - In Q3, the overseas price relationship was CP>FEI>MB. The MB price was relatively weak, the CP - FEI spread narrowed, and the FEI - MB spread widened [9] Chapter 3: Core Focus Points 3.1 Supply Still Has Resilience - **Middle East**: OPEC+ has been gradually increasing production since May, but the export increment is not obvious. From January to August, the total LPG export was 32,252 tons, with a year - on - year increase of 1.60%. It is expected that the monthly average export volume in Q4 will be around 3,800 - 3,900 KT, similar to that of last year's Q4 [11][12] - **United States**: In Q3, the US C3 production remained high, with an average of 2.85 million barrels/day. From January to August, the total LPG export was 45,455 KT, with a year - on - year increase of 3.62%. It is expected that the Q4 export volume will remain high, with an estimated C3 production of 2.8 million barrels/day [16] 3.2 Asian Demand Faces Challenges - **India**: From January to August, the total LPG import was 14,947 KT, with a year - on - year increase of 7.08%. In Q4, the import volume will remain high but the incremental growth will not be significant, expected to be around 2 - 2.1 million tons/month [21][23] - **South Korea and Japan**: South Korea's LPG import volume is expected to remain high in Q4, supported by seasonal demand and chemical demand. Japan's LPG production has been decreasing year by year, and the demand is highly dependent on imports. There will be a seasonal increase in Q4 [25][28] - **China**: The PDH industry is in an expansion cycle. As of now, PDH has suffered losses, and there is a risk of a decline in chemical demand in Q4. The C4 demand and MTBE demand are also expected to decline seasonally [31][34] 3.3 Freight Rates Expected to Fluctuate at a High Level - Since the Sino - US trade friction in April, the freight rate from the US Gulf to the Far East has been rising. In Q4, the freight rate is expected to remain at a high level due to the resilient US export and the number of ships detouring the Cape of Good Hope remaining higher than in previous years [39] Chapter 4: Valuation Feedback and Supply - Demand Outlook 4.1 Valuation Feedback - **Gas - oil ratio**: It is relatively neutral to high and may continue to rise if crude oil production increases in Q4 [44] - **PN spread**: It is relatively neutral to low and is expected to remain low in Q4 [46] - **PDH profit**: It is currently in a loss state and is expected to remain low in Q4 [48] 4.2 Overseas Supply - Demand Outlook - Supply will remain resilient in Q4, while demand in the Asian market has limited growth, mainly from seasonal factors. Chemical demand may be suppressed by profit decline [50] 4.3 Domestic Supply - Demand Outlook - **Supply**: Domestic LPG production is expected to remain at a high level in Q4, but the import volume may be affected by PDH profit and maintenance [51][54] - **Demand**: Chemical demand will decline in Q4, while the increase in combustion demand will not be significant as this winter is likely to be a warm winter [55]

Group 1: Report Industry Investment Rating - No relevant content provided Group 2: Core Viewpoints of the Report - The spot market is weak, with slight declines in Shandong's civil LPG and ether - post carbon four. The market is expected to be mainly volatile as the combustion off - season is nearing its end, but demand remains weak, and supply in the cheapest delivery area (East China) is expected to increase slightly with no substantial improvement in demand [1] Group 3: Summary According to Related Data Spot Market - Spot market is weak, with East China's low - end price at 4507 (+0), Shandong at 4500 (-20), and South China at 4590 (+0). Ether - post carbon four is at 4800 (+0). The lowest delivery area has shifted to Shandong [1] Futures Market - The PG main contract fluctuates. The cheapest deliverable is East China's civil LPG at 4501. The basis strengthens to 125 (+55), and the 10 - 11 month spread is 69 (-18). The registered warehouse receipt volume is 13008 lots (-199) [1] International Market - External prices are differentiated. FEI, CP, and MB month spreads fluctuate and strengthen. The internal - external price difference declines. The freight rate drops slightly. The Panama Canal waiting time for VLGCs significantly decreases [1] Industry Data - Port inventory changes little, refinery commercial volume drops by 3.01%, and PDH operating rate is 73.10% (+0.08pct). Next week, Ningbo Jinfa will shut down, while Hebei Haiwei and Wanhua Yantai will resume operations [1]