monthlyssessments-june-sea-pe-prices

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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)

Origin	Product	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Payment Term	Delivery Country
Malaysia	HDPE Film	Offer Received	MYR	3,440	803	30 Days Credit Term	Malaysia
Philippines	HDPE Film	Offer Received	PHP	51,000-52,000	913-931	Cash In Advance	Philippines
Thailand	HDPE Film	Offer Given	THB	28,000-30,000	905-970	Cash In Advance	Thailand
Thailand	HDPE Film	Offer Received	THB	29,000	938	Cash In Advance	Thailand
United Arab Emirates	HDPE Film	Offer Given	THB	27,000	873	Cash In Advance	Thailand
Malaysia	LDPE Film	Offer Received	MYR	3,980-4,310	929-1006	30 Days Credit Term	Malaysia
Southeast Asia	LDPE Film	Offer Received	PHP	64,000	1,146	Cash In Advance	Philippines
Malaysia	LDPE Film	Offer Received	THB	30,500	986	Cash In Advance	Thailand
Malaysia	LDPE Film	Offer Given	THB	32,000-32,500	1035-1051	Cash In Advance	Thailand
Malaysia	LDPE Film	Sold	THB	32,000-32,500	1035-1051	Cash In Advance	Thailand
Southeast Asia	LDPE Film	Sold	THB	32,500	1,051	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Received	THB	33,000-33,500	1067-1083	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Given	THB	34,000	1,099	Cash In Advance	Thailand
Malaysia	LLDPE Film C4	Offer Received	MYR	3,390	791	30 Days Credit Term	Malaysia
Philippines	LLDPE Film C4	Offer Received	PHP	50,000-52,000	896-931	Cash In Advance	Philippines
Thailand	LLDPE Film C4	Offer Given	THB	28,000-30,000	905-970	Cash In Advance	Thailand
Thailand	LLDPE Film C4	Offer Received	THB	29,000	938	Cash In Advance	Thailand

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

Origin	Product	Transaction Type	Offers (USD/ton)	Delivery Country
Middle East	HDPE Film	Offer Given	780	Malaysia
Middle East	HDPE Film	Offer Given	780	Philippines
Middle East	HDPE Film	Sold	770-780	Philippines
Southeast Asia	HDPE Film	Sell Idea	850-900	Southeast Asia
Middle East	LDPE Film	Offer Given	840-850	Malaysia
Middle East	LDPE Film	Offer Received	920	Myanmar
Middle East	LDPE Film	Offer Given	840	Philippines
Middle East	LDPE Film	Sold	830	Philippines
Southeast Asia	LDPE Film	Sell Idea	940	Southeast Asia
Southeast Asia	LDPE Film	Offer Received	870-890	Thailand
Middle East	LLDPE Film C4	Offer Given	770	Malaysia
Middle East	LLDPE Film C4	Offer Given	770	Philippines
Middle East	LLDPE Film C4	Sold	760-770	Philippines
Middle East	LLDPE Film C4	Offer Received	820	Philippines
Middle East	LLDPE Film C4	Offer Received	810	Thailand
Middle East	LLDPE Film C4	Purchased	810	Thailand
North America	LLDPE Film C4	Offer Received	750-780	Malaysia
North America	LLDPE Film C4	Purchased	750	Malaysia
Southeast Asia	LLDPE Film C4	Sell Idea	850-900	Southeast Asia
North America	mLLDPE C6	Offer Received*	800-820	Malaysia
North America	mLLDPE C6	Purchased*	800	Malaysia
North America	mLLDPE C6	Offer Received	800	Philippines

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)

Origin	Product	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Payment Term	Delivery Country
Malaysia	HDPE Film	Sold	MYR	3,580	835	Cash In Advance	Malaysia
Philippines	HDPE Film	Offer Received	PHP	52,000-53,000	931-949	Cash In Advance	Philippines
Philippines	HDPE Film	Offer Received	PHP	54,000	967	60 Days Credit Term	Philippines
Thailand	HDPE Film	Offer Given	THB	28,000-30,000	905-970	Cash In Advance	Thailand
Thailand	HDPE Film	Offer Received	THB	29,500	954	Cash In Advance	Thailand
Philippines	HDPE Pipe (PE 100)	Offer Received	PHP	54,000-55,000	967-985	Cash In Advance	Philippines
Malaysia	LDPE Film	Offer Received	MYR	3,980	928	30 Days Credit Term	Malaysia
Malaysia	LDPE Film	Price list	MYR	4,250	991	30 Days Credit Term	Malaysia
Malaysia	LDPE Film	Offer Received	THB	31,500-32,000	1018-1035	Cash In Advance	Thailand
Malaysia	LDPE Film	Offer Given	THB	33,000-33,500	1067-1083	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Given	THB	32,500-33,000	1051-1067	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Received	THB	33,500-34,000	1083-1099	Cash In Advance	Thailand
Malaysia	LLDPE Film C4	Sold	MYR	3,780	882	Cash In Advance	Malaysia
Philippines	LLDPE Film C4	Offer Received	PHP	52,000-53,000	931-949	Cash In Advance	Philippines
Philippines	LLDPE Film C4	Offer Received	PHP	54,000	967	60 Days Credit Term	Philippines
Thailand	LLDPE Film C4	Offer Given	THB	28,000-30,000	905-970	Cash In Advance	Thailand
Thailand	LLDPE Film C4	Offer Received	THB	29,500	954	Cash In Advance	Thailand

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

Origin	Product	Transaction Type	Offers (USD/ton)	Delivery Country
Middle East	HDPE Film	Offer Given	830-850	Malaysia
Middle East	HDPE Film	Purchased	790	Malaysia
North America	HDPE Film	Purchased	810*	Malaysia
North America	HDPE Film	Offer Received	790	Philippines
Southeast Asia	HDPE Film	Offer Received	850**	Philippines
Southeast Asia	HDPE Film	Purchased	830**	Philippines
Middle East	LDPE Film	Offer Given	870-880	Malaysia
Southeast Asia	LDPE Film	Offer Given	930-940	Thailand
Middle East	LLDPE Film C4	Offer Given	800	Malaysia
Middle East	LLDPE Film C4	Purchased	780	Malaysia
Middle East	LLDPE Film C4	Sold	780-800	Malaysia
North America	LLDPE Film C4	Offer Received	790-800	Philippines
North America	LLDPE Film C4	Purchased	755-770	Malaysia

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

Origin	Product	Transaction Type	Offers (USD/ton)
Philippines	HDPE Film	Offer Received	900
Philippines	LLDPE Film C4	Offer Received	900

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)

Origin	Product	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Payment Term	Delivery Country
Malaysia	HDPE Film	Offer Given	MYR	3,580-4,310	835-1006	30 Days Credit Term	Malaysia
Philippines	HDPE Film	Offer Received	PHP	52,000-53,000	931-949	Cash In Advance	Philippines
Philippines	HDPE Film	Offer Received	PHP	54,000	967	60 Days Credit Term	Philippines
Singapore	HDPE Film	Offer Given	THB	30,000	970	Cash In Advance	Thailand
Thailand	HDPE Film	Offer Received	THB	29,500-30,000	954-970	Cash In Advance	Thailand
Thailand	HDPE Film	Offer Given	THB	28,000-30,500	905-986	Cash In Advance	Thailand
Thailand	HDPE Film	Sold	THB	28,000	905	Cash In Advance	Thailand
Malaysia	LDPE Film	Offer Given	MYR	4,110-4,250	959-992	30 Days Credit Term	Malaysia
Malaysia	LDPE Film	Offer Given	MYR	4,210	982	Cash In Advance	Malaysia
Malaysia	LDPE Film	Offer Given	THB	32,500-33,000	1051-1067	Cash In Advance	Thailand
Malaysia	LDPE Film	Sold	THB	32,500	1,051	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Received	THB	34,000	1,099	Cash In Advance	Thailand
Malaysia	LLDPE Film C4	Offer Given	MYR	4,000	933	Cash In Advance	Malaysia
Philippines	LLDPE Film C4	Offer Received	PHP	52,000-53,000	931-949	Cash In Advance	Philippines
Philippines	LLDPE Film C4	Offer Received	PHP	54,000	967	60 Days Credit Term	Philippines
Thailand	LLDPE Film C4	Offer Received	THB	29,500-30,000	954-970	Cash In Advance	Thailand
Thailand	LLDPE Film C4	Offer Given	THB	28,000-30,500	905-986	Cash In Advance	Thailand
Thailand	LLDPE Film C4	Sold	THB	28,000	905	Cash In Advance	Thailand

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

Origin	Product	Transaction Type	Offers (USD/ton)	Delivery Country
Southeast Asia	HDPE Blow Moulding	Sold	860	Philippines
Middle East	HDPE Film	Offer Received	870	Malaysia
Middle East	HDPE Film	Offer Given	860-870	Malaysia
Middle East	HDPE Film	Bid Received	820-830	Malaysia
North America	HDPE Film	Offer Received	870	Malaysia
Southeast Asia	HDPE Film	Offer Received	860	Philippines
Southeast Asia	HDPE Film	Sold	855	Philippines
Southeast Asia	HDPE Film	Sold	830	Southeast Asia
Central & East Europe	LDPE Film	Offer Given	960-970	Thailand
Middle East	LDPE Film	Offer Given	890	Malaysia
Middle East	LDPE Film	Offer Received	880	Philippines
Middle East	LDPE Film	Offer Given	880	Philippines
Middle East	LLDPE Film C4	Offer Given	850-860	Malaysia
Middle East	LLDPE Film C4	Bid Received	800-820	Malaysia
Middle East	LLDPE Film C4	Offer Received	840	Philippines
Middle East	LLDPE Film C4	Offer Given	840	Philippines
North America	LLDPE Film C4	Offer Received	830	Malaysia
Southeast Asia	LLDPE Film C4	Offer Received	850	Philippines
Southeast Asia	LLDPE Film C4	Sold	845	Philippines
North America	mLLDPE C6	Offer Received	870	Malaysia

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

Origin	Product	Transaction Type	Offers (USD/ton)
Philippines	LLDPE Film C4	Purchased	840

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)

Origin	Product	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Payment Term	Delivery Country
Philippines	HDPE Blow Moulding	Offer Received	PHP	53,000	949	Cash In Advance	Philippines
Malaysia	HDPE Film	Price List	MYR	3,580	835	30 Days Credit Term	Malaysia
Philippines	HDPE Film	Offer Received	PHP	53,000	949	Cash In Advance	Philippines
Singapore	HDPE Film	Offer Given	THB	30,000	970	Cash In Advance	Thailand
Singapore	HDPE Film	Sold	THB	29,500	954	Cash In Advance	Thailand
Thailand	HDPE Film	Offer Given	THB	29,500-31,500	954-1018	Cash In Advance	Thailand
Thailand	HDPE Film	Offer Received	THB	30,500	986	Cash In Advance	Thailand
Thailand	HDPE Film	Sold	THB	29,500	954	Cash In Advance	Thailand
Malaysia	LDPE Film	Offer Given	MYR	4,110-4,250	959-992	30 Days Credit Term	Malaysia
Malaysia	HDPE Film	Price List	MYR	4,250	992	30 Days Credit Term	Malaysia
Malaysia	LDPE Film	Offer Given	THB	32,500	1,051	Cash In Advance	Thailand
Malaysia	LDPE Film	Sold	THB	32,000-32,500	1035-1051	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Given	THB	35,000	1,132	Cash In Advance	Thailand
Thailand	LDPE Film	Offer Received	THB	34,000	1,099	Cash In Advance	Thailand
Malaysia	LLDPE Film C4	Offer Given	MYR	4,000	933	Cash In Advance	Malaysia
Philippines	LLDPE Film C4	Offer Received	PHP	52,000-53,000	931-949	Cash In Advance	Philippines
Thailand	LLDPE Film C4	Offer Given	THB	29,500-31,500	954-1018	Cash In Advance	Thailand
Thailand	LLDPE Film C4	Offer Received	THB	30,500	986	Cash In Advance	Thailand
Thailand	LLDPE Film C4	Sold	THB	29,500	954	Cash In Advance	Thailand

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

Origin	Product	Transaction Type	Offers (USD/ton)	Delivery Country
Middle East	HDPE Film	Offer Received	880	Thailand
Southeast Asia	LDPE Film	Price List	990	Malaysia
Middle East	LLDPE Film C4	Offer Received	830	Malaysia
Middle East	LLDPE Film C4	Bid Given	790-800	Malaysia
Middle East	LLDPE Film C4	Sell Idea	860	Malaysia
Middle East	LLDPE Film C4	Offer Received	920	Philippines
Middle East	LLDPE Film C4	Offer Received	920-950	Thailand
North America	LLDPE Film C4	Offer Received	820-840	Philippines
Southeast Asia	LLDPE Film C4	Sell Idea	900*	Southeast Asia
North America	mLLDPE C6	Offer Received	860	Malaysia
Southeast Asia	mLLDPE C6	Offer Received	1,080	Philippines

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)

Origin	Product	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Payment Term	Delivery Country
Malaysia	HDPE Blow Moulding	Price List	MYR	4,040	943	30 Days Credit Term	Malaysia
Philippines	HDPE Blow Moulding	Offer Received	PHP	56,000	1,003	Cash In Advance	Philippines
Malaysia	HDPE Film	Offer Given	MYR	3,960	924	30 Days Credit Term	Malaysia
Malaysia	HDPE Film	Price List	MYR	3,960-4,640	924-1083	30 Days Credit Term	Malaysia
Philippines	HDPE Film	Offer Received	PHP	56,000-57,000	1003-1021	Cash In Advance	Philippines
Thailand	HDPE Film	Offer Received	THB	31,000	1,002	Cash In Advance	Thailand
Malaysia	LDPE Film	Offer Given	MYR	4,390	1,024	30 Days Credit Term	Malaysia
Malaysia	LDPE Film	Price List	MYR	4,390-4,530	1024-1057	30 Days Credit Term	Malaysia
Thailand	LDPE Film	Offer Received	THB	34,000	1,099	Cash In Advance	Thailand
Malaysia	LLDPE Film C4	Price List	MYR	4,270	996	30 Days Credit Term	Malaysia
Malaysia	LLDPE Film C4	Offer Received	MYR	4,160	971	30 Days Credit Term	Malaysia
Philippines	LLDPE Film C4	Offer Received	PHP	55,000-57,000	985-1021	Cash In Advance	Philippines
Thailand	LLDPE Film C4	Offer Received	THB	31,000	1,002	Cash In Advance	Thailand

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

Origin	Product	Transaction Type	Offers (USD/ton)	Delivery Country
Middle East	LLDPE Film C4	Offer Received	920	Southeast Asia
Middle East	LLDPE Film C4	Purchased	900-920	Thailand

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)

MonthlySSESSMENTS: June SEA PE Prices

Author: SSESSMENTS

MonthlySSESSMENTS: June SEA PE Prices

Author: SSESSMENTS

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