Polypropylene Market Trends
Petrotahlil:
PP sellers maintain firm stance in SEA, buyers resist
• Import PP stable to $10 higher on week
•Indonesian producer lifts local PP for 3rd week
• Thai market slows down prior to elections, Songkran
• Spot C3 prices continue to soften in Asia
• Vietnam’s Nghi Son delays PP restart to late March
• Import homo-PP raffia, inj. ($/ton): 1110-1180 CIF
China’s PP market under pressure from opposite factors
• Raffia prices remain largely stable on week
• High local inventories pull PP futures down
• Demand remains limited to buyers’ needs
• Low overseas supplies support import sentiment
• Yuan strong amid positivity around trade talks with US
• Import homo-PP raffia ($/ton): 1050-1130 CIF
PP dealt with increases, sentiment remains firm in Europe
• PP market preserves its upward trend
• €25-30 increases pass on initial March deals
• Only a few sellers remain firm on larger hikes
• SABIC to run maintenance at PP 5 plant in Gelsenkirchen, Germany
• PP sentiment remains firm on Brexit concerns, spring cracker turnarounds
• Local spot (€/ton): Homo-PP 1210-1310 | PPBC 1260-1360 FD
Increases pass on PP despite calm demand in Italy
• Players start to close March deals €25-30 higher
• Higher C3 supports increases in PP market
• Many buyers are still sidelined
• PP demand is calm amid comfortable supply
• Early voices emerge for April
• Local spot (€/ton): Homo-PP 1170-1270 | PPBC 1220-1320 FD
March PP offers surface with hikes in Middle East
• Saudi major announces small increases to local market
• Sentiment expected to improve before Ramadan
• Higher costs support hikes
• Purchases still kept to minimum amounts
• Local PP in S.Arabia ($/ton): Raffia and inj., 1130-1140 FD
• Import PP in UAE ($/ton): Raffia and inj., 1180-1200 CIF
Turkey’s PP market sees widest fibre-raffia gap in almost a year
• Turkey’s premium over China hits $115 on average
• Players: No supply relief on near horizon for fibre
• High ends for homo-PP injection trimmed
• Economic concerns prevail on volatile parity
• Eyes to remain on pre-election lull, opposite factors in China
• Local ($/ton): Raffia 1550-1615 ex-warehouse
• Import Saudi ($/ton): Raffia 1160-1180 | Fibre 1240-1280 CIF
PP markets in Africa steady to lower as supply outstrips demand
• Mid-Eastern producers announce mostly rollovers
• Nigerian ELEME raises offers by up to NGN11,000
• Suppliers complain of lack of activities
• Import PP in Nigeria ($/ton): Homo PP 1190 CFR
• Import PP in Kenya ($/ton): Homo PP 1170-1200 CIF
Firm costs offset by higher EGP/USD in Egypt’s local PP market
• Import PP offers for March stable to $20 softer
• Demand started showing signs of improvement
• Local PP prices stable to softer by EGP100-500
• Buyers adopt cautious stance amid cash flow issues
• Import PP ($/ton): Raffia 1170-1190 | Film 1190-1220 CIF