monthlyssessments-june-china-pe-prices

As predicted by some players quoted in previous MonthlySSESSMENTS, PE offers in China were mostly on a positive note during June. On the week commencing June 1, local and localized Saudi PE cargoes across all grades increased between CNY50-200/ton ($7-28/ton). Likewise, import offers for HDPE Film and LLDPE Film C4 of Saudi origin moved higher by $30/ton on the monthly comparison, while HDPE Pipe (100) maintained stable on a weekly basis. For Southeast Asian cargoes, offers for HDPE Film and LLDPE Film C4 from Thailand surged by $40/ton and $35/ton respectively on biweekly comparison while mLLDPE C6 offers remained unchanged from a week earlier. For LDPE Film, the Thai PE producer did not have allocations to offer.

For the second and third week of June, local PE offers were relatively stable as supported by low inventory levels of local producers and firmer feedstock prices. For localized cargoes, offers for localized HDPE Film and LDPE Film from Iran edged down between CNY50-100/ton ($7-14/ton) by the second week while localized Saudi LLDPE Film C4 were slightly up by CNY20/ton ($3/ton) due to depreciation of Chinese Yuan against US Dollar. All changes in domestic offers were on a weekly basis. For import cargoes, offers for HDPE Film, LDPE Film, and LLDPE Film C4 of Saudi origin in the second week increased by $10/ton on weekly comparison but the offers were not firm as the producer provided room for negotiation. During the same timeframe, HDPE Film and LLDPE Film C4 from a Thai producer moved higher by $30/ton and $20/ton respectively for August shipment. While in the third week of June, SSESSMENTS.COM was told that import PE offers were stable from a week earlier.

By the final week of June, a local producer was triggered to increase offers for LLDPE Film C4 between CNY75-100/ton ($11-14/ton) amid relatively tight domestic supply and firm feedstock prices. Offers for localized HDPE Film and LDPE Film of Iran origin also increased between CNY50-100/ton ($7-14/ton) due to limited supply for cargoes of this origin in China market as shipment from Iran was delayed due to new US sanctions. Likewise, import PE offers of several origins increased between $10-50/ton. All on the week-on-week comparison. While on the monthly comparison, July shipment offers for Middle Eastern cargoes went up by $90-100/ton for HDPE Film, $50-60/ton for LDPE Film and LLDPE Film C4. July shipment offers for South Korean cargoes also increased between $50-70/ton for HDPE Film and LLDPE Film C4 while HDPE Yarn moved higher by $80/ton. According to SSESSMENTS.COM database, some suppliers managed to close deals at initial levels while some could not conclude any deals due to buyers’ resistance towards high offers.

Overall demand for PE resins in China during June was considered good compared to May, but could not be considered as strong. Most buyers kept purchasing on a hand-to-mouth basis and showed resistance towards high prices. Additionally, buyers who source from imports preferred prompt delivery cargoes to anticipate a slowdown in demand ahead of the traditional season for China PE market in July-August. Moreover, buyers were not really into buying due to holiday mood, Dragon Boat Festival which took place on June 25-27. Fears of a second wave of coronavirus had also negatively affected buying sentiment since the Chinese government enforced a partial lockdown in some cities. As told to SSESSMENTS.COM, supply in China was limited since mid-May as China started selling PE cargoes to other countries, coupled with maintenance at several local PE plants.

Looking into July, the majority of market players contacted by SSESSMENTS.COM believe that local and import PE prices may continue to increase as buoyed by firm feedstock prices and limited supply. However, the amount of price increase would be curbed by a slowdown in demand as China PE market will enter a low season in July.

Transactions for local/localized PE between June 1 to June 5 on EXW China basis, including 13% VAT (all equivalent in USD excluding VAT)

Origin	Product	Transaction Type	Offers (CNY/ton)	Equivalent in USD/ton
China	HDPE Blow Moulding	Price List	7,400-7,500	926-939
China	HDPE Film	Offer Given	7,400-7,500	926-939
China	HDPE Film	Price List	7,500-7,600	939-951
Middle East	HDPE Film	Offer Given	7,700-7,800	964-976
Saudi	HDPE Film	Offer Given	7,500	939
Thailand	HDPE Film	Offer Given	7,800-7,850	976-982
China	HDPE Pipe (PE 100)	Price List	8,200-8,300	1,026-1,039
China	HDPE Yarn	Price List	7,000-7,100	876-889
China	LDPE Film	Offer Given	7,500-7,650	939-957
China	LDPE Film	Price List	7,400-8,000	926-1,001
Middle East	LDPE Film	Offer Given	7,800-7,850	976-982
Saudi	LDPE Film	Offer Given	7,800-7,900	976-989
China	LLDPE Film C4	Offer Given	6,650-6,800	832-851
China	LLDPE Film C4	Price List	6,700-7,000	838-876
Middle East	LLDPE Film C4	Offer Given	6,800-7,000	851-876
Saudi	LLDPE Film C4	Offer Given	7,200	901

Transactions for import PE between June 1 to June 5 on LC at sight, CIF China Main Port basis

Origin	Product	Transaction Type	Offers (USD/ton)
Middle East	HDPE Film	Offer Given	780-810
Middle East	HDPE Film	Offer Received	750
Middle East	HDPE Film	Sell Idea	850-860
Southeast Asia	HDPE Film	Offer Given	860
Middle East	HDPE Pipe (PE 100)	Offer Given	950-960
Middle East	HDPE Pipe (PE 100)	Sold	950-960
Middle East	HDPE Pipe Black (100)	Offer Given	1,050-1,090
Middle East	HDPE Pipe Black (100)	Sold	1,050-1,090
Middle East	LDPE Film	Offer Given	820-840
Middle East	LDPE Film	Sold	855
Middle East	LDPE Film	Sell Idea	880-890
Indian Subcontinent	LLDPE Film C4	Offer Received	740
Middle East	LLDPE Film C4	Offer Given	740-770
Middle East	LLDPE Film C4	Offer Received	740
Middle East	LLDPE Film C4	Sell Idea	790-800
Southeast Asia	LLDPE Film C4	Offer Given	835
Southeast Asia	mLLDPE C6	Offer Given	930

Transactions for local/localized PE between June 8 to June 12 on EXW China basis, including 13% VAT (all equivalent in USD excluding VAT)

Origin	Product	Transaction Type	Offers (CNY/ton)	Equivalent in USD/ton
China	HDPE Blow Moulding	Offer Given	7,400-7,800	926-976
China	HDPE Blow Moulding	Price List	7,500	939
Russia	HDPE Blow Moulding	Sold	7,100	889
China	HDPE Film	Offer Given	7,500-7,850	939-982
China	HDPE Film	Price List	7,500-7,600	939-951
Iran	HDPE Film	Offer Given	7,600-7,900	951-989
Iran	HDPE Film	Sold	7,500-7,600	939-951
Russia	HDPE Film	Sold	7,200	901
China	HDPE Pipe (PE 100)	Price List	8,100-8,300	1,014-1,039
China	HDPE Yarn	Price List	7,000-7,200	876-901
China	LDPE Film	Offer Given	7,700-8,100	964-1,014
China	LDPE Film	Price List	7,800-8,000	976-1,001
Iran	LDPE Film	Offer Given	7,900-7,950	989-995
Iran	LDPE Film	Sold	7,900	989
China	LLDPE Film C4	Offer Given	6,600-6,850	826-857
China	LLDPE Film C4	Price List	6,750-7,000	845-876
Saudi	LLDPE Film C4	Offer Received	7,100	889

Transactions for import PE between June 8 to June 12 on LC at sight, CIF China Main Port basis

Origin	Product	Transaction Type	Offers (USD/ton)
Middle East	HDPE Blow Moulding	Offer Received	880-920
Middle East	HDPE Blow Moulding	Sold	855
Middle East	HDPE Film	Offer Given	780-860
Middle East	HDPE Film	Offer Received	850-860
Middle East	HDPE Film	Sell Idea	830-840
North America	HDPE Film	Offer Given	820
Southeast Asia	HDPE Film	Offer Given	860-900
Southeast Asia	HDPE Film	Offer Received	895
Southeast Asia	HDPE Pipe (PE 100)	Offer Given	980
Middle East	LDPE Film	Offer Given	850-910
Middle East	LDPE Film	Offer Received	885-910
Middle East	LDPE Film	Sold	855-870
Southern Africa	LDPE Film	Purchased	860
Indian Subcontinent	LLDPE Film C4	Offer Received	740
Middle East	LLDPE Film C4	Offer Given	750-820
Middle East	LLDPE Film C4	Offer Received	740-810
Middle East	LLDPE Film C4	Purchased	800
Middle East	LLDPE Film C4	Sell Idea	780
Southeast Asia	LLDPE Film C4	Offer Given	835-860
Southeast Asia	LLDPE Film C4	Offer Received	855
Southern Africa	LLDPE Film C4	Purchased	755
Southeast Asia	mLLDPE C6	Offer Given	930

Transactions for local/localized PE between June 15 to June 19 on EXW China basis, including 13% VAT (all equivalent in USD excluding VAT)

Origin	Product	Transaction Type	Offers (CNY/ton)	Equivalent in USD/ton
China	HDPE Blow Moulding	Price List	7,500	939
China	HDPE Film	Offer Given	7,500-7,800	939-976
China	HDPE Film	Price List	7,600	951
Iran	HDPE Film	Offer Given	7,350-7,850	920-982
Middle East	HDPE Film	Offer Given	6,900-7,100	864-889
China	HDPE Pipe (PE 100)	Price List	7,950-8,050	995-1,007
China	HDPE Yarn	Price List	7,100-7,300	889-914
China	LDPE Film	Offer Given	7,800-8,200	976-1,026
China	LDPE Film	Price List	7,800-8,000	976-1,001
Iran	LDPE Film	Offer Given	8,000	1,001
Middle East	LDPE Film	Offer Given	8,300	1,039
China	LLDPE Film C4	Offer Given	6,700-7,100	838-889
China	LLDPE Film C4	Price List	6,900-7,100	864-889
China	LLDPE Film C4 (CTO)	Sold	6,700-6,740	838-844
Middle East	LLDPE Film C4	Offer Given	7,100-7,300	889-914
Qatar	LLDPE Film C4	Offer Received	7,030	880
Saudi	LLDPE Film C4	Offer Received	7,120	891

Transactions for import PE between June 15 to June 19 on CIF China Main Port basis

Origin	Product	Transaction Type	Offers (USD/ton)	Payment Term
Far East Asia	HDPE Film	Offer Given	870	LC 90 days
Far East Asia	HDPE Film	Sold	870	LC 90 days
Middle East	HDPE Film	Offer Given	840-860	LC at sight
Middle East	HDPE Film	Offer Received	850-870	LC at sight
North America	HDPE Film	Offer Given	820-830	TT
North America	HDPE Film	Offer Given	820	LC at sight
Southeast Asia	HDPE Film	Offer Received	900	LC at sight
Southeast Asia	HDPE Film	Sold	850	LC at sight
Southeast Asia	HDPE Pipe (PE 100)	Offer Received	930	LC at sight
Central Asia	HDPE Yarn	Offer Given	780-800	LC at sight
Southeast Asia	HDPE Yarn	Offer Received	850-860	LC at sight
Middle East	LDPE Film	Offer Given	880-900	LC at sight
Middle East	LDPE Film	Offer Received	885-910	LC at sight
Middle East	LLDPE Film C4	Offer Given	790-800	LC at sight
Middle East	LLDPE Film C4	Offer Received	800-810	LC at sight
North America	LLDPE Film C4	Offer Received	800	LC at sight
Southeast Asia	mLLDPE C6	Offer Received	930	LC at sight

Transactions for local/localized PE between June 22 to June 26 on EXW China basis, including 13% VAT (all equivalent in USD excluding VAT)

Origin	Product	Transaction Type	Offers (CNY/ton)	Equivalent in USD/ton
China	HDPE Film	Offer Given	7,700-8,000	964-1,001
Iran	HDPE Film	Offer Given	8,000-8,100	1,001-1,014
China	LDPE Film	Offer Given	8,200-8,400	1,026-1,051
Iran	LDPE Film	Offer Given	8,500	1,064
China	LLDPE Film C4	Offer Given	6,900-7,200	864-901

Transactions for import PE between June 22 to June 26 on LC at sight, CIF/CFR China Main Port basis

Origin	Product	Transaction Type	Offers (USD/ton)
Qatar	HDPE Film	Offer Received	880-885
Saudi	HDPE Film	Offer Given	880
Saudi	HDPE Film	Offer Received	850-920
Saudi	HDPE Film	Purchased	850-860
South Korea	HDPE Film	Offer Received	900
Taiwan	HDPE Film	Offer Received	910
Thailand	HDPE Film	Offer Given	930
Thailand	HDPE Film	Offer Received	930
South Korea	HDPE Pipe (PE 100)	Offer Received	940
Thailand	HDPE Pipe (PE 100)	Offer Given	960
Thailand	HDPE Pipe (PE 100)	Offer Received	960-970
India	HDPE Yarn	Price List	845-865
South Korea	HDPE Yarn	Offer Received	860-870
South Korea	HDPE Yarn	Purchased	860
Taiwan	HDPE Yarn	Offer Received	900
Qatar	LDPE Film	Offer Received	910-915
Saudi	LDPE Film	Offer Received	940
South Africa	LDPE Film	Offer Received	900
Qatar	LLDPE Film C4	Offer Given	830
Qatar	LLDPE Film C4	Offer Received	800-830
Saudi	LLDPE Film C4	Offer Given	830
Saudi	LLDPE Film C4	Offer Received	800-820
Saudi	LLDPE Film C4	Purchased	800
South Africa	LLDPE Film C4	Offer Received	775-780
South Korea	LLDPE Film C4	Bid Received	805
South Korea	LLDPE Film C4	Offer Given	855
South Korea	LLDPE Film C4	Offer Received	830

Transactions for local PE between June 29 to June 30 on EXW China basis, including 13% VAT (all equivalent in USD excluding VAT)

Origin	Product	Transaction Type	Offers (CNY/ton)	Equivalent in USD/ton
China	HDPE Blow Moulding	Price List	7,600-7,700	951-964
China	HDPE Film	Price List	7,800	976
China	HDPE Pipe (PE 100)	Price List	8,000	1,001
China	HDPE Yarn	Price List	7,300-7,500	914-939
China	LDPE Film	Price List	8,350-8,400	1,045-1,051
China	LLDPE Film C4	Offer Given	7,225-7,300	904-914
China	LLDPE Film C4	Price List	7,000-7,100	876-889

Transactions for import PE between June 29 to June 30 on CIF China Main Port basis

Origin	Product	Transaction Type	Offers (USD/ton)	Payment Term
Saudi	HDPE Film	Offer Given*	860-870	LC at sight
South Korea	HDPE Film	Offer Given	920	LC at sight
Thailand	HDPE Film	Offer Received	950***	LC 90 days
India	HDPE Yarn	Sold	860	LC 90 days
Thailand	LLDPE Film C4	Offer Given**	870	LC at sight
Thailand	LLDPE Film C4	Offer Received	870	LC 90 days
Thailand	LLDPE Film C4	Sold**	870	LC at sight

Description: *July shipment **July to August shipment ***Has been withdrawn

MonthlySSESSMENTS: June China PE Prices

Author: SSESSMENTS

MonthlySSESSMENTS: June China PE Prices

Author: SSESSMENTS

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