Market Uncertainty Pushes Chinese PET Producer To Set Different Pricing Strategies
- Local PET Bottle offers mostly stable to fluctuate around CNY50-100/ton ($7-14/ton)
- Demand for PET Bottle slightly improved
- PET prices are foreseen to stabilize or fluctuate around CNY100-200/ton ($14-28/ton)
In the local market, offers for PET Bottle in China captured mostly stable in-line with the improvement of market sentiment and the number of inquiries. However, despite the increment, some buyers are still holding a cautious stance and still hesitant to place bids. As a result, the uncertainty pushes Chinese PET producers to set different pricing strategies to match buyers’ expectations. As informed to SSESSMENTS.COM, some producers attempt to increased the offers between CNY50-100/ton ($7-14/ton), while some others with inventory pressure decided to lower the offers between CNY50-100/ton ($7-14/ton). All prices comparison are on a weekly basis. To the export market, the PET Bottle offers from traders are available at $845/ton on LC at sight, FOB China basis. The traders notified that the company is willing to negotiate further.
Overall, the demand for PET Bottle in China has slightly improved owing to the rebound in crude oil prices and positive news from the cancellation of imposed additional tariffs. However, as the winter season is around the corner and the temperature starts to drop, the end-product sales indeed will weaken in the near term. On the plant news, market talks have it that one of the local PET producers’ 400,000 tons/year plant reportedly will undergo maintenance shutdown starting from early November and will last for 30 days. Currently, the plant is only running its production at 80% from normal rate, SSESSMENTS.COM was told.
Looking ahead, the majority of market players opined to SSESSMENTS.COM that demand will be improving around November ahead of preparation for the year-end events and Chinese New Year celebration. In the meantime, the prices should be stable or fluctuate around CNY100-200/ton ($14-28/ton).
Tags: Asia Pacific,China,English,EN PET CHINA WSS,Northeast Asia,Polyethylene Terephthalate (PET),WeeklySSESSMENTS China PET prices,PET pricesPublished on October 25, 2019 7:20 PM (GMT+8)
Last Updated on January 14, 2020 7:43 AM (GMT+8)