PTA And MEG Costs Hindered PET Price Adjustment In China
- Local PET Bottle offers were recorded stable
- Some export cargoes are negotiable up to $10/ton lower than the initial offer levels
- Demand is predicted to decrease further due to cold weather
Market players in China reported to SSESSMENTS.COM that the cost of PTA and MEG hindered the adjustment on PET Bottle prices in the country. Despite the sluggish demand, the offers for PET Bottle in the local market were kept stable compared to a fortnight ago as supported by the stable PTA and MEG costs. To the export market, the offers for PET Bottle captured between $840-880/ton on LC at sight, FOB China basis. Some producers are willing to sell at $10/ton lower than the initial offer levels.
As reported by market players to SSESSMENTS.COM, the demand for PET in the country is softening as the winter season is approaching. From the export market, buyers’ responses are also cold. Moreover, sellers will face more difficulties if the Indian government decided to implement the anti-dumping duty for Chinese PET cargoes. In terms of supply, tightness is reported for PTA ahead of the maintenance shutdown at several producers’ plants. On the production sector, China’s Guangdong IVL PET Polymer decided to delay maintenance at the company’s 550,000 tons/year PET unit to October 24 and will last for two weeks. Meanwhile, China Resources Packaging Materials planned to shut its PET unit between November and December around 20 days for maintenance works.
Looking ahead, market players shared an opinion with SSESSMENTS.COM that the PET prices will be most likely to follow the movement of PTA and MEG costs, while the demand is predicted to remain soft due to cold weather.
Tags: Asia Pacific,China,English,EN PET CHINA WSS,Northeast Asia,Polyethylene Terephthalate (PET),WeeklySSESSMENTS China PET prices,PET pricesPublished on October 11, 2019 7:55 PM (GMT+8)
Last Updated on January 14, 2020 7:43 AM (GMT+8)