Chinese PET Market Shows No Sign Of Recovery
- Local offers recorded stable to softer
- Export offers remain unchanged
- Demand remains on a bearish tone
SSESSMENTS.COM’s data showed that the Chinese PET market showed no sign of recovery this week. In the domestic market, some producers attempted to slash offers for local PET Bottle cargoes between CNY50-100/ton ($7-14/ton) following a reduction in PTA and MEG prices. However, others prefer to maintain the offer level stable from a week earlier as changes in monomer prices are deemed insignificant. Besides, some sources mentioned that the current local offers have reached below CNY6,500/ton-threshold, which is considered as the bottom-out level. Upstream, PTA and MEG prices dipped between CNY100-200/ton ($14-28/ton) on a weekly basis. To the export market, the current offer level surfaced with no adjustment compared to last week’s level as the Chinese Yuan rises against the greenback this week. So far, inquiries from Europe, the Middle East, and Southeast Asia market remains limited.
In general, sources in China revealed to SSESSMENTS.COM demand for PET resins in China remains on a slippery slope over the week as most market players keep their guard up in the midst of US-China trade truce. In terms of buying sentiment, no signs of improvement observed in the domestic market. Further added, supply for PET Bottle in the market remains ample at the moment. On the production front, market talks have it that China's Dragon Special Resin will conduct maintenance shutdown at the company’s PET plant by the end of December.
Looking ahead, the majority of market players in China voiced out to SSESSMENTS.COM that a further price cut is not a viable option as local and export prices already near the bottom. Demand-wise, some sources expressed that demand would pick up ahead of the Chinese New Year celebration.
Tags: Asia Pacific,China,English,EN PET CHINA WSS,Northeast Asia,Polyethylene Terephthalate (PET),WeeklySSESSMENTS China PET prices,PET pricesPublished on November 8, 2019 10:57 PM (GMT+8)
Last Updated on January 14, 2020 7:43 AM (GMT+8)