Transactions for import LLDPE Film C4 between July 20 to July 24 on LC at sight, CFR/CIF China Main Port basis
Description: *Via trader, last shipment date September 15 **Late August to early September’s shipments- Indian Subcontinent origin $875-885/ton
- Middle East origin $840-880/ton
- Southeast Asia origin $880-900/ton
Comments by market players on LLDPE Film C4 market as follows:
“So far, we have not received any fresh offers yet. However, we still have some offers for impot Middle Eastern LLDPE Film C4 cargoes and the prices remain stable from last week’s level as supported by the rebound in futures prices. We are no longer able to increase PE prices despite the firmer futures prices due to buyers’ resistance toward high prices, even the issue of delayed Iranian cargoes is unable to support PE prices anymore as players already get used to it. Besides, the inventory level of the two leading Chinese polyolefins producers have begun to accumulate; if the digestion is not smooth on a daily basis, we believe PE prices, especially for local and localized cargoes, most likely will drop later on. Additionally, the presence of seasonal slowdown has restrained buyers from making fresh procurements,” a Chinese trader reported on July 20.
A Thai PE producer contacted by SSESSMENTS.COM on July 20 informed, “This week, export offers for LLDPE Film C4 to China dropped by $20/ton from last week and the offers are available for late August to early September’s shipment. We decided to adjust down the offers to keep up with the downtrend in the China market. Aside from that, China’s domestic market has been very quiet since last week and so far, no stimulus that could support the price increments.”
“As compared to last week’s level, we decided to maintain a stable offer for LLDPE Film C4 at $880/ton on LC at sight, CIF China Main Port basis. Speaking of the demand, buying sentiment in the China market this week is weakening compared to last week. In the near term, we believe that the market will continue moving to the bearish side and PE prices will be corrected down following the demand conditions,” a source of the leading Saudi polyolefins producer stated to SSESSMENTS.COM.
“Considering the slower China’s domestic market coupled with buyers’ resistance toward high prices, we decided to trim export offers for LLDPE Film C4 by $15/ton as compared to Monday’s level. The offers are currently available at $885/ton on LC at sight, CIF China Main Port basis, with deals concluded at $880-885/ton on the same payment and delivery terms,” a Thai PE producer reported on July 21.
Following the further reduction of Thai PE cargoes, a trader based in China commented, “We managed to sell some volume of Thai LLDPE Film C4 cargoes with deals concluded at $880-885/ton on LC at sight, CIF China Main Port basis. However, there are some customers who believe that the prices will be adjusted further in the upcoming week, hence, they decided not to rush the procurement activities.”
“For PE cargoes, some agents are offering import LLDPE Film C4 of Brazil origin at $840/ton on LC at sight, CIF China Main Port basis. The price is quite low and we assumed that they would like to move the cargoes as fast as possible. Demand-wise, the state is getting worse recently due to floods, particularly in the middle part of China,” a China-based trader told SSESSMENTS.COM.
“We have received August shipment offers for Kuwaiti LLDPE Film C4 cargoes at $850/ton on LC at sight, CIF China Main Port basis. The price is surely higher than July shipment offers but we could not remember the exact changes,” said by another Chinese trader.
Tags: Asia Pacific,China,English,NEA,News,PE
Published on July 27, 2020 10:43 AM (GMT+8)Last Updated on July 27, 2020 12:15 PM (GMT+8)
