Comments by market players on LLDPE Film C4 market as follows:
“From our side, the latest offers for LLDPE Film C4 to the China market raised by $30/ton as compared to last week’s level. At the moment, buying sentiment in the domestic market is quieter than a day earlier, which we assume might be caused by the plunge in crude oil price last night,” a Thai PE producer reported on April 28.
A regional trader contacted by SSESSMENTS.COM informed, “We tried to bid LLDPE Film C4 cargoes of Philippines origin to the China market at $700/ton on LC at sight, CIF China Main Port basis, but got rejected by the producer. The producer then gave a counter-offer at $820-830/ton on the same payment and delivery term.”
“This week, we received offers for US LLDPE Film C4 at $700/ton on LC at sight, CIF China Main Port basis, or $20/ton higher than last week’s level. It is quite understandable for US suppliers to increase their offers since crude oil prices are very low recently; which led to shale gas producers halt their production activities. Thereupon resulted in limited and higher ethylene prices and then pushed up PE prices as well. As for now, we are still in the middle of negotiation with the US suppliers and have yet to conclude any deals,” a Chinese trader revealed.
“There are no offers from Middle Eastern suppliers within this week as most of them have already closed orders since last week. The Middle Eastern suppliers will most likely announce new prices after the Labor Day holiday. From our side, we managed to sell some volume of US LLDPE Film C4 at $680/ton on LC at sight, CIF China Main Port basis,” a global trading house revealed to SSESSMENTS.COM.
“We have announced May shipment PE offers to the China and Southeast Asia market and made some price adjustments for both markets. Particularly for the China market, we decided to cut May shipment offers for LLDPE Film C4 by $30/ton on a monthly comparison. At the moment, buying sentiment in the China market is better hence sales are also considered good. Considering the positive response from buyers, quite a number of foreign suppliers moved their cargoes to the China market. As such, if the sales in Southeast Asia remain slow, we will undoubtedly divert our allocation to the China market,” a Middle Eastern producer informed SSESSMENTS.COM on April 30.
“In the local market, offers for PE cargoes were mostly stable from last week’s level. As such, import LLDPE Film C4 cargoes of Iran origin are also stable compared to the same period. However, it is rather hard to predict the price movement in the days to come since futures market prices have been quite fluctuating lately,” a Chinese trader stated.
Click below to view related stories and content on China PE:
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Tags: Asia Pacific,China,English,NEA,News,PE
Published on May 4, 2020 10:55 AM (GMT+8)
