google badge ios badge
Newsletter successfully sent
Failed to send newletter

MonthlySSESSMENTS: June SEA PE Prices

Author: SSESSMENTS

  • Leading Philippines polyolefins producer adjusted PE offers twice on the week commencing June 22
  • PE demand in Southeast Asia region was considered sluggish
  • PE prices expected to remain firm in July

In June, SSESSMENTS.COM noted that overall local and import PE prices in Southeast Asia were captured on an uptrend. In Malaysia, a local producer announced June delivery offers for PE cargoes across all grades with an increment of between MYR100-200/ton ($23-47/ton) compared to May delivery. While in Thailand, in the first half of June, following limited supply and firmer feedstock prices, the local PE producers adjusted up offers depending on the grades with a total increment of THB1,000/ton ($32/ton). Despite the price adjustment from producers, traders preferred to maintain a stable offer level to lure buyers. Most traders were offering PE cargoes at THB500/ton ($16/ton) lower than the producers’ price list citing that they still had some volume left from the previous procurements when prices were low. On the week commencing June 15, one of the traders in Thailand decided to offer local HDPE Film and LLDPE Film C4 between THB1,500-2,000/ton ($48-64/ton) lower and at THB1,500/ton ($48/ton) lower for localized Malaysian LDPE Film compared to a local producer’s offers to secure some deals. However, deals remained scarce as buyers only purchased on a need basis. While on the week commencing June 22, a local producer increased local PE offers across all grades by THB1,000/ton ($32/ton) compared to a week earlier. In the Philippines, the leading Philippines polyolefins producer adjusted up local HDPE Film and LLDPE Film C4 between PHP1,000-2,000/ton ($20-40/ton) on the week commencing June 8. On June 24, the producer also announced an upward revision on local PE offers by PHP1,000/ton ($20/ton). However, the next day, on June 25, the producer applied another price increase for local HDPE Film and LLDPE Film C4 between PHP2,000-3,000/ton ($40-60/ton) from the previous price list. Detailed information for Indonesia and Vietnam market is available in MonthlySSESSMENTS of the respective countries.

In the import market, July shipment offers for HDPE Film from a Malaysian polyolefins producer to the Philippines surfaced at $70/ton higher compared to June shipment. However, deals were concluded at $20/ton lower than the initial offer level at $830/ton on LC at sight, CIF Philippines Main Port basis. While for US cargoes, the offers for both HDPE Film and LLDPE Film C4 were between $130-150/ton higher compared to the same period. Although the offers were deemed attractive, buyers were still hesitant to take the cargoes due to the long lead time. On the week commencing June 15, a Malaysian producer had sold all July allocation to the Southeast Asia market. To the Philippines, the producer managed to close deals for HDPE Film at $20/ton lower than the initial offer level at $830/ton on LC at sight, CIF Philippines Main Port basis. While on June 25, July shipment offers from one of the Middle Eastern producers surfaced in the Southeast Asia market. Compared to June shipment, offers for HDPE Film and LLDPE Film C4 increased between $120-140/ton. As for other PE grades, SSESSMENTS.COM’s pricing database showed that at the beginning of June, import offers for US mLLDPE C6 to Malaysia increased by $80/ton as compared to the offer received in early May. While import offers for mLLDPE C6 cargoes of Singapore origin to the Philippines captured at $40/ton higher compared to offers at the end of May.

Despite the slight improvement recorded, the overall PE demand in Southeast Asia was considered sluggish during June. Buyers showed resistance towards the firm PE prices. Moreover, with sufficient inventory on hand, buyers were not in a rush to make procurements. In the Philippines, even though the lockdown in Metro Manila has been lifted as of June 1, the market was not fully resumed yet due to the lack of workforce stemming from limited public transportation as the number of confirmed COVID-19 cases remains high. However, in Malaysia, on the week commencing June 15, some buyers started to replenish materials since the demand for end-products also started to pick up. On the supply side, the availability of PE cargoes in Southeast Asia market was generally limited, especially for local materials. In Thailand, limited supply reported from Thai PTT Public Company Ltd due to maintenance shutdown. The tightness was also reported in the Malaysia market especially for HDPE Film and LLDPE Film C4, SSESSMENTS.COM noted.

On the production sector, market sources revealed to SSESSSMENTS.COM that Thai PTT Public Company Ltd has resumed production at the company’s HDPE plant with a capacity of 300,000 tons/year on June 8 after previously shut on May 25. While the old LLDPE plant with a capacity of 400,000 tons/year was shut on June 4 due to technical issues and has resumed production on the week commencing June 15. On June 25, Malaysia Lotte Chemical Titan also resumed production at the company’s 220,000 tons/year HDPE plant, which was shut previously on the week commencing June 8 for maintenance purposes.

For the outlook, considering the uptrend in feedstock prices, some Southeast Asian market players believe that both local and import PE prices will remain firm in July. As PE demand is predicted to remain sluggish on the back of slow finished product demand, buyers will most likely show stiff resistance toward the offers, as stated to SSESSMENTS.COM. Additionally, the Philippines government would not loosen the restrictions for public transportation in the country as the number of Coronavirus cases remains high.

Transactions for local/localized PE between June 1 to June 5 on FD basis, excluding VAT (except in PHP term including 12% VAT, all equivalent in USD excluding VAT)

OriginProductTransaction TypeCurrencyOffers/tonEquivalent in USD/tonPayment TermDelivery Country
MalaysiaHDPE FilmOffer ReceivedMYR3,44080330 Days Credit TermMalaysia
PhilippinesHDPE FilmOffer ReceivedPHP51,000-52,000913-931Cash In AdvancePhilippines
ThailandHDPE FilmOffer GivenTHB28,000-30,000905-970Cash In AdvanceThailand
ThailandHDPE FilmOffer ReceivedTHB29,000938Cash In AdvanceThailand
United Arab EmiratesHDPE FilmOffer GivenTHB27,000873Cash In AdvanceThailand
MalaysiaLDPE FilmOffer ReceivedMYR3,980-4,310929-100630 Days Credit TermMalaysia
Southeast AsiaLDPE FilmOffer ReceivedPHP64,0001,146Cash In AdvancePhilippines
MalaysiaLDPE FilmOffer ReceivedTHB30,500986Cash In AdvanceThailand
MalaysiaLDPE FilmOffer GivenTHB32,000-32,5001035-1051Cash In AdvanceThailand
MalaysiaLDPE FilmSoldTHB32,000-32,5001035-1051Cash In AdvanceThailand
Southeast AsiaLDPE FilmSoldTHB32,5001,051Cash In AdvanceThailand
ThailandLDPE FilmOffer ReceivedTHB33,000-33,5001067-1083Cash In AdvanceThailand
ThailandLDPE FilmOffer GivenTHB34,0001,099Cash In AdvanceThailand
MalaysiaLLDPE Film C4Offer ReceivedMYR3,39079130 Days Credit TermMalaysia
PhilippinesLLDPE Film C4Offer ReceivedPHP50,000-52,000896-931Cash In AdvancePhilippines
ThailandLLDPE Film C4Offer GivenTHB28,000-30,000905-970Cash In AdvanceThailand
ThailandLLDPE Film C4Offer ReceivedTHB29,000938Cash In AdvanceThailand

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

OriginProductTransaction TypeOffers (USD/ton)Delivery Country
Middle EastHDPE FilmOffer Given780Malaysia
Middle EastHDPE FilmOffer Given780Philippines
Middle EastHDPE FilmSold770-780Philippines
Southeast AsiaHDPE FilmSell Idea850-900Southeast Asia
Middle EastLDPE FilmOffer Given840-850Malaysia
Middle EastLDPE FilmOffer Received920Myanmar
Middle EastLDPE FilmOffer Given840Philippines
Middle EastLDPE FilmSold830Philippines
Southeast AsiaLDPE FilmSell Idea940Southeast Asia
Southeast AsiaLDPE FilmOffer Received870-890Thailand
Middle EastLLDPE Film C4Offer Given770Malaysia
Middle EastLLDPE Film C4Offer Given770Philippines
Middle EastLLDPE Film C4Sold760-770Philippines
Middle EastLLDPE Film C4Offer Received820Philippines
Middle EastLLDPE Film C4Offer Received810Thailand
Middle EastLLDPE Film C4Purchased810Thailand
North AmericaLLDPE Film C4Offer Received750-780Malaysia
North AmericaLLDPE Film C4Purchased750Malaysia
Southeast AsiaLLDPE Film C4Sell Idea850-900Southeast Asia
North AmericamLLDPE C6Offer Received*800-820Malaysia
North AmericamLLDPE C6Purchased*800Malaysia
North AmericamLLDPE C6Offer Received800Philippines
Description: *Offers on EXW basis

Transactions for local/localized PE between June 8 to June 12 on FD basis, excluding VAT (except in PHP term including 12% VAT, all equivalent in USD excluding VAT)

OriginProductTransaction TypeCurrencyOffers/tonEquivalent in USD/tonPayment TermDelivery Country
MalaysiaHDPE FilmSoldMYR3,580835Cash In AdvanceMalaysia
PhilippinesHDPE FilmOffer ReceivedPHP52,000-53,000931-949Cash In AdvancePhilippines
PhilippinesHDPE FilmOffer ReceivedPHP54,00096760 Days Credit TermPhilippines
ThailandHDPE FilmOffer GivenTHB28,000-30,000905-970Cash In AdvanceThailand
ThailandHDPE FilmOffer ReceivedTHB29,500954Cash In AdvanceThailand
PhilippinesHDPE Pipe (PE 100)Offer ReceivedPHP54,000-55,000967-985Cash In AdvancePhilippines
MalaysiaLDPE FilmOffer ReceivedMYR3,98092830 Days Credit TermMalaysia
MalaysiaLDPE FilmPrice listMYR4,25099130 Days Credit TermMalaysia
MalaysiaLDPE FilmOffer ReceivedTHB31,500-32,0001018-1035Cash In AdvanceThailand
MalaysiaLDPE FilmOffer GivenTHB33,000-33,5001067-1083Cash In AdvanceThailand
ThailandLDPE FilmOffer GivenTHB32,500-33,0001051-1067Cash In AdvanceThailand
ThailandLDPE FilmOffer ReceivedTHB33,500-34,0001083-1099Cash In AdvanceThailand
MalaysiaLLDPE Film C4SoldMYR3,780882Cash In AdvanceMalaysia
PhilippinesLLDPE Film C4Offer ReceivedPHP52,000-53,000931-949Cash In AdvancePhilippines
PhilippinesLLDPE Film C4Offer ReceivedPHP54,00096760 Days Credit TermPhilippines
ThailandLLDPE Film C4Offer GivenTHB28,000-30,000905-970Cash In AdvanceThailand
ThailandLLDPE Film C4Offer ReceivedTHB29,500954Cash In AdvanceThailand

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

OriginProductTransaction TypeOffers (USD/ton)Delivery Country
Middle EastHDPE FilmOffer Given830-850Malaysia
Middle EastHDPE FilmPurchased790Malaysia
North AmericaHDPE FilmPurchased810*Malaysia
North AmericaHDPE FilmOffer Received790Philippines
Southeast AsiaHDPE FilmOffer Received850**Philippines
Southeast AsiaHDPE FilmPurchased830**Philippines
Middle EastLDPE FilmOffer Given870-880Malaysia
Southeast AsiaLDPE FilmOffer Given930-940Thailand
Middle EastLLDPE Film C4Offer Given800Malaysia
Middle EastLLDPE Film C4Purchased780Malaysia
Middle EastLLDPE Film C4Sold780-800Malaysia
North AmericaLLDPE Film C4Offer Received790-800Philippines
North AmericaLLDPE Film C4Purchased755-770Malaysia
Description: *Offers on EXW, Port Klang, Malaysia, **July shipment offers

Transactions for export PE between June 8 to June 12 on LC at sight, FOB Philippines basis

OriginProductTransaction TypeOffers (USD/ton)
PhilippinesHDPE FilmOffer Received900
PhilippinesLLDPE Film C4Offer Received900

Transactions for local/localized PE between June 15 to June 19 on FD basis, excluding VAT (except in PHP term including 12% VAT, all equivalent in USD excluding VAT)

OriginProductTransaction TypeCurrencyOffers/tonEquivalent in USD/tonPayment TermDelivery Country
MalaysiaHDPE FilmOffer GivenMYR3,580-4,310835-100630 Days Credit TermMalaysia
PhilippinesHDPE FilmOffer ReceivedPHP52,000-53,000931-949Cash In AdvancePhilippines
PhilippinesHDPE FilmOffer ReceivedPHP54,00096760 Days Credit TermPhilippines
SingaporeHDPE FilmOffer GivenTHB30,000970Cash In AdvanceThailand
ThailandHDPE FilmOffer ReceivedTHB29,500-30,000954-970Cash In AdvanceThailand
ThailandHDPE FilmOffer GivenTHB28,000-30,500905-986Cash In AdvanceThailand
ThailandHDPE FilmSoldTHB28,000905Cash In AdvanceThailand
MalaysiaLDPE FilmOffer GivenMYR4,110-4,250959-99230 Days Credit TermMalaysia
MalaysiaLDPE FilmOffer GivenMYR4,210982Cash In AdvanceMalaysia
MalaysiaLDPE FilmOffer GivenTHB32,500-33,0001051-1067Cash In AdvanceThailand
MalaysiaLDPE FilmSoldTHB32,5001,051Cash In AdvanceThailand
ThailandLDPE FilmOffer ReceivedTHB34,0001,099Cash In AdvanceThailand
MalaysiaLLDPE Film C4Offer GivenMYR4,000933Cash In AdvanceMalaysia
PhilippinesLLDPE Film C4Offer ReceivedPHP52,000-53,000931-949Cash In AdvancePhilippines
PhilippinesLLDPE Film C4Offer ReceivedPHP54,00096760 Days Credit TermPhilippines
ThailandLLDPE Film C4Offer ReceivedTHB29,500-30,000954-970Cash In AdvanceThailand
ThailandLLDPE Film C4Offer GivenTHB28,000-30,500905-986Cash In AdvanceThailand
ThailandLLDPE Film C4SoldTHB28,000905Cash In AdvanceThailand

Transactions for import PE between June 15 to June 19 on LC at sight, CIF Main Port basis

OriginProductTransaction TypeOffers (USD/ton)Delivery Country
Southeast AsiaHDPE Blow MouldingSold860Philippines
Middle EastHDPE FilmOffer Received870Malaysia
Middle EastHDPE FilmOffer Given860-870Malaysia
Middle EastHDPE FilmBid Received820-830Malaysia
North AmericaHDPE FilmOffer Received870Malaysia
Southeast AsiaHDPE FilmOffer Received860Philippines
Southeast AsiaHDPE FilmSold855Philippines
Southeast AsiaHDPE FilmSold830Southeast Asia
Central & East EuropeLDPE FilmOffer Given960-970Thailand
Middle EastLDPE FilmOffer Given890Malaysia
Middle EastLDPE FilmOffer Received880Philippines
Middle EastLDPE FilmOffer Given880Philippines
Middle EastLLDPE Film C4Offer Given850-860Malaysia
Middle EastLLDPE Film C4Bid Received800-820Malaysia
Middle EastLLDPE Film C4Offer Received840Philippines
Middle EastLLDPE Film C4Offer Given840Philippines
North AmericaLLDPE Film C4Offer Received830Malaysia
Southeast AsiaLLDPE Film C4Offer Received850Philippines
Southeast AsiaLLDPE Film C4Sold845Philippines
North AmericamLLDPE C6Offer Received870Malaysia

Transactions for export PE between June 15 to June 19 on LC at sight, FOB Philippines basis

OriginProductTransaction TypeOffers (USD/ton)
PhilippinesLLDPE Film C4Purchased840

Transactions for local/localized PE between June 22 to June 26 on FD basis, excluding VAT (except in PHP term including 12% VAT, all equivalent in USD excluding VAT)

OriginProductTransaction TypeCurrencyOffers/tonEquivalent in USD/tonPayment TermDelivery Country
PhilippinesHDPE Blow MouldingOffer ReceivedPHP53,000949Cash In AdvancePhilippines
MalaysiaHDPE FilmPrice ListMYR3,58083530 Days Credit TermMalaysia
PhilippinesHDPE FilmOffer ReceivedPHP53,000949Cash In AdvancePhilippines
SingaporeHDPE FilmOffer GivenTHB30,000970Cash In AdvanceThailand
SingaporeHDPE FilmSoldTHB29,500954Cash In AdvanceThailand
ThailandHDPE FilmOffer GivenTHB29,500-31,500954-1018Cash In AdvanceThailand
ThailandHDPE FilmOffer ReceivedTHB30,500986Cash In AdvanceThailand
ThailandHDPE FilmSoldTHB29,500954Cash In AdvanceThailand
MalaysiaLDPE FilmOffer GivenMYR4,110-4,250959-99230 Days Credit TermMalaysia
MalaysiaHDPE FilmPrice ListMYR4,25099230 Days Credit TermMalaysia
MalaysiaLDPE FilmOffer GivenTHB32,5001,051Cash In AdvanceThailand
MalaysiaLDPE FilmSoldTHB32,000-32,5001035-1051Cash In AdvanceThailand
ThailandLDPE FilmOffer GivenTHB35,0001,132Cash In AdvanceThailand
ThailandLDPE FilmOffer ReceivedTHB34,0001,099Cash In AdvanceThailand
MalaysiaLLDPE Film C4Offer GivenMYR4,000933Cash In AdvanceMalaysia
PhilippinesLLDPE Film C4Offer ReceivedPHP52,000-53,000931-949Cash In AdvancePhilippines
ThailandLLDPE Film C4Offer GivenTHB29,500-31,500954-1018Cash In AdvanceThailand
ThailandLLDPE Film C4Offer ReceivedTHB30,500986Cash In AdvanceThailand
ThailandLLDPE Film C4SoldTHB29,500954Cash In AdvanceThailand

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

OriginProductTransaction TypeOffers (USD/ton)Delivery Country
Middle EastHDPE FilmOffer Received880Thailand
Southeast AsiaLDPE FilmPrice List990Malaysia
Middle EastLLDPE Film C4Offer Received830Malaysia
Middle EastLLDPE Film C4Bid Given790-800Malaysia
Middle EastLLDPE Film C4Sell Idea860Malaysia
Middle EastLLDPE Film C4Offer Received920Philippines
Middle EastLLDPE Film C4Offer Received920-950Thailand
North AmericaLLDPE Film C4Offer Received820-840Philippines
Southeast AsiaLLDPE Film C4Sell Idea900*Southeast Asia
North AmericamLLDPE C6Offer Received860Malaysia
Southeast AsiamLLDPE C6Offer Received1,080Philippines
Description: *Sell Idea for August shipment

Transactions for local PE between June 29 to June 30 on FD basis, excluding VAT (except in PHP term including 12% VAT, all equivalent in USD excluding VAT)

OriginProductTransaction TypeCurrencyOffers/tonEquivalent in USD/tonPayment TermDelivery Country
MalaysiaHDPE Blow MouldingPrice ListMYR4,04094330 Days Credit TermMalaysia
PhilippinesHDPE Blow MouldingOffer ReceivedPHP56,0001,003Cash In AdvancePhilippines
MalaysiaHDPE FilmOffer GivenMYR3,96092430 Days Credit TermMalaysia
MalaysiaHDPE FilmPrice ListMYR3,960-4,640924-108330 Days Credit TermMalaysia
PhilippinesHDPE FilmOffer ReceivedPHP56,000-57,0001003-1021Cash In AdvancePhilippines
ThailandHDPE FilmOffer ReceivedTHB31,0001,002Cash In AdvanceThailand
MalaysiaLDPE FilmOffer GivenMYR4,3901,02430 Days Credit TermMalaysia
MalaysiaLDPE FilmPrice ListMYR4,390-4,5301024-105730 Days Credit TermMalaysia
ThailandLDPE FilmOffer ReceivedTHB34,0001,099Cash In AdvanceThailand
MalaysiaLLDPE Film C4Price ListMYR4,27099630 Days Credit TermMalaysia
MalaysiaLLDPE Film C4Offer ReceivedMYR4,16097130 Days Credit TermMalaysia
PhilippinesLLDPE Film C4Offer ReceivedPHP55,000-57,000985-1021Cash In AdvancePhilippines
ThailandLLDPE Film C4Offer ReceivedTHB31,0001,002Cash In AdvanceThailand

Transactions for import PE between June 29 to June 30 on LC at sight, CIF Main Port basis

OriginProductTransaction TypeOffers (USD/ton)Delivery Country
Middle EastLLDPE Film C4Offer Received920Southeast Asia
Middle EastLLDPE Film C4Purchased900-920Thailand

Tags: Asia Pacific,English,Monthly,PE,SEA

Published on July 1, 2020 5:58 PM (GMT+8)
Last Updated on July 1, 2020 6:09 PM (GMT+8)