quarterlyssessments-q1-2020-sea-pet-prices

Based on the data collected by SSESSMENTS.COM, local PET Bottle prices within the Southeast Asia market were only firm in the first month of Q1. In January, a Thai PET producer was still able to make an upward price adjustment by THB500/ton ($16/ton). The producer was still trying to maintain the offers firm during February, and just made a price reduction of THB500/ton ($16/ton) in the first and fourth week of February. While in March, the producer was under pressure to trim the prices on the back of the plunge in crude oil prices and the slow demand. In March, the producer trimmed offers between THB500-1,000/ton ($16-32/ton) week by week. In Malaysia, the offers were mostly stable. A price reduction of MYR50/ton ($12/ton) captured in February and MYR100/ton ($23/ton) in March, due to slow demand. Detailed information for Indonesia and Vietnam market is available in QuarterlySSESSMENTS of the respective countries.

Likewise, in January, offers for import PET Bottle of China origin to Malaysia showed an increment of $30/ton. While export PET Bottle offers of Thailand origin on FOB basis increased between $20-30/ton. In February, offers for Chinese PET Bottle cargoes to Myanmar went down by $30/ton and by $10/ton on the low-end level of the price range to the Malaysia market. In March, the amount of price reduction for import Chinese PET Bottle cargoes was getting bigger. In general, Chinese PET Bottle prices to the Southeast Asia market were down between $25-45/ton. To the export market, Thai PET producers reduced offers by $40/ton in total during March, as noted by SSESSMENTS.COM.

The overall demand for PET Bottle in Q1 reported subdued, except in Thailand. Sufficient inventory on hand, buyers’ expectation for lower prices, slow end products demand and cloudy market outlook stemming from the Coronavirus outbreak noted as several factors dampened buying appetite. However, SSESSMENTS.COM noted that in January, demand for the end products was reported healthy in Thailand supported by the dry season in the country. In March, a Thai PET producer claimed that the dry season still supported demand for PET resins, although sales decreased by 15% as compared to February. On the supply front, there were no significant issues reported, except the delayed shipment for Chinese PET Bottle cargoes due to logistical constraints amid Coronavirus issue.

Looking into Q2, the majority of Southeast Asian PET market players stated to SSESSMENTS.COM that the slow market would prolong if the Coronavirus issues linger. As such, a chance for further downward price adjustment is widely open due to slow demand.

Range of local/localized PET Bottle transactions in January on cash, FD/EXW basis (excluding VAT in all terms)

Origin	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Delivery Term	Delivery Location
Malaysia	Offer Received	MYR	3,650-3,700	840-852	FD	Malaysia
Malaysia	Purchased	MYR	3,530-3,650	813-840	FD	Malaysia
Thailand	Offer Given	THB	27,000-27,500	823-838	EXW	Thailand
Thailand	Offer Given	THB	27,500-29,000	838-884	FD	Thailand
Thailand	Offer Received	THB	28,500-29,000	869-884	FD	Thailand
China	Offer Received	THB	28,500-29,000	869-884	FD	Thailand
Thailand	Sold	THB	28,500-29,000	869-884	FD	Thailand

Range of import PET Bottle transactions in January on LC at sight, CIF Main Port basis

Origin	Transaction Type	Offers (USD/ton)	Delivery Country
China	Offer Received	860-880	Malaysia
China	Purchased	860	Malaysia
China	Offer Received	870	Myanmar
China	Offer Given	850	Philippines
China	Offer Given	870	Thailand

Range of export PET Bottle transactions in January on LC at sight, FOB Thailand basis

Origin	Transaction Type	Offers (USD/ton)
Thailand	Offer Given	880-920

Range of local/localized PET Bottle transactions in February on FD basis (excluding VAT in all terms)

Origin	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Payment Term	Delivery Country
Malaysia	Offer Received	MYR	3,600-3,650	829-840	Cash In Advance	Malaysia
Malaysia	Offer Received	MYR	3,600-3,650	829-840	30 Days Credit Term	Malaysia
China	Offer Received	MYR	3,600	829	Cash In Advance	Malaysia
Malaysia	Purchased	MYR	3,600	829	Cash In Advance	Malaysia
Thailand	Offer Given	THB	27,500-28,000	838-854	Cash In Advance	Thailand
Thailand	Offer Received	THB	27,500-28,000	838-854	Cash In Advance	Thailand
China	Offer Received	THB	27,800-28,500	847-869	Cash In Advance	Thailand
Thailand	Sell Idea	THB	27,500	838	Cash In Advance	Thailand

Range of import PET Bottle transactions in February on LC at sight, CIF Main Port basis

Origin	Transaction Type	Offers (USD/ton)	Payment Term	Delivery Country
China	Offer Given	830-840	LC at sight	Malaysia
China	Offer Received	810-825	LC at sight	Malaysia
China	Purchased	820	LC at sight	Malaysia
Thailand	Offer Received	910-920	LC at sight	Malaysia
Thailand	Purchased	890	LC at sight	Malaysia
China	Offer Received	830-840	LC at sight	Myanmar
China	Offer Given	800-840	LC at sight	Philippines
China	Sold	800	LC at sight	Philippines
China	Offer Given	840-850	LC at sight	Thailand

Range of export PET Bottle transactions in February on LC at sight, FOB Thailand basis

Origin	Transaction type	Offers (USD/ton)
Thailand	Offer Given	870-920

Range of local/localized PET Bottle transactions in March on cash, FD basis (excluding VAT in all terms)

Origin	Transaction Type	Currency	Offers/ton	Equivalent in USD/ton	Delivery Country
Malaysia	Offer Given	MYR	3,600	829	Malaysia
Malaysia	Offer Received	MYR	3,450-3,650	794-840	Malaysia
Malaysia	Bid Received	MYR	3,500	806	Malaysia
Malaysia	Buy Idea	MYR	3,500	806	Malaysia
China	Offer Given	MYR	3,500-3,650	806-840	Malaysia
Thailand	Offer Given	THB	25,500-27,500	777-838	Thailand
Thailand	Offer Received	THB	25,500-27,000	777-823	Thailand
Thailand	Purchased	THB	27,000	823	Thailand
Thailand	Sold	THB	25,500-27,000	777-823	Thailand
China	Offer Received	THB	25,800-28,200	786-860	Thailand

Range of import PET Bottle transactions in March on LC at sight, CIF Main Port basis

Origin	Transaction Type	Offers (USD/ton)	Delivery Country
China	Offer Received	710-800	Malaysia
Thailand	Offer Received	780	Malaysia
China	Offer Received	775-820	Myanmar
China	Offer Given	700-820	Philippines
China	Offer Given	730-760	Southeast Asia
China	Offer Received	820	Thailand
China	Offer Given	720-840	Thailand

Range of export PET Bottle transactions in March on LC at sight, FOB Thailand basis

Origin	Transaction Type	Offers (USD/ton)	Delivery Country
Thailand	Offer Given	780-900	Thailand
Thailand	Sold	830-870	Thailand

QuarterlySSESSMENTS: Q1 2020 SEA PET Prices

Author: SSESSMENTS

QuarterlySSESSMENTS: Q1 2020 SEA PET Prices

Author: SSESSMENTS

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