Polyethylene Weekly highlights, July 11.
PE extends modest gains into 3rd week in China
• Import prices up $10-20 on week
• Demand continues to improve slowly
• LLDPE futures see weekly drop of CNY100
• Crude oil futures hit highest level since May
• New capacities weigh on medium-term outlook
• Import dutiable PE ($/ton): HDPE film 980-1020 | LDPE film 940-1010 | LLDPE film 900-950 CIF
Improving demand supports PE sellers’ firm stance in SEA
• Mid-Eastern PE offers stable to $10-20 firmer
• Ample supplies keep US PE under pressure
• Surging crude oil futures also boost sentiment
• Vietnam’s demand better compared to other SEA countries
• Thai market slightly up THB500-1000 on week
• Mid-Eastern PE ($/ton): HDPE film 1000-1070 | LDPE film 980-1040 | LLDPE film 920-990 CIF
• US PE ($/ton): HDPE film 980-990 | LDPE film 980-1000 | LLDPE film 890-940 CIF
Bearishness gains speed in Italy’s PE market for July
• €75-80 drops start to pass on July deals
• Suppliers concede to further small discounts
• Demand slightly improves on buyers’ replenishing activity
• PE fundamentals remain weak
• US LLDPE emerges at competitive level
• Local spot (€/ton): LDPE film 1020-1060 | LLDPE film 980-1050 | HDPE film, b/m 1030-1140 FD
PE dealt in line with or exceeding July C2 drop in Europe
• PE deals closed with €75-80 decreases
• Overall demand remains weak ahead of summer holidays
• HD prices hit lowest levels since mid-Aug 2017
• Further small drops might be possible later in the month
• Early Aug voices emerge on a stable note
• Local spot (€/ton): LDPE film 1000-1100| LLDPE film 1010-1050 | HDPE film, b/m 1040-1150 FD | HDPE inj. 1050-1140 FD
Turkey’s PE market looks for direction
• Further but small discounts arose
• Sellers: Inquiries are higher
• Buyers: Sellers reluctant to accept lower bids
• Offers from Europe showed up
• Import LLDPE, HDPE still trade at a discount to China
• US ($/ton): LDPE 970-980 | LLDPE 910-930 | HDPE film 940-1000 CIF
• Mid-East ($/ton): LDPE 1000-1020 | LLDPE 940-990 | HDPE film 1000-1020 CIF
• Local ($/ton): LDPE 1330-1380 | LLDPE 1210-1290 | HDPE film 1320-1380 inc VAT
Initial July PE offers revealed softer in Mid-East
• Saudi producer reveal lower offers to local market
• Demand remains flat across region
• Availability is not a concern amid sluggish activities
• Local PE in S.Arabia ($/ton): LDPE 1020 | LLDPE 970 | HDPE 1030 FD
• Import PE in UAE ($/ton): LDPE 1040-1050 | LLDPE 1020-1060 | HDPE 1040-1050 CIF
Egypt’s PE markets remain on downtrend
• More ME suppliers unveil softer offers
• High stock levels amid limited buying interest
• PE markets defy the recent monomer gains
• Import PE ($/ton): HDPE 1050-1060 | LDPE 1000-1060 | LLDPE 980-1000
African PE players receive softer offers for July
• ELEME’s offers steady for second month in a row
• East, West Africa receive hefty declines for July
• Similar pattern expected in North, South Africa
• Imports in Kenya ($/ton): LDPE 1130 | LLDPE 1040 | HDPE 1070-1080 CFR
• Imports in Nigeria ($/ton): LDPE 1070 | LLDPE 1060 | HDPE 1090 CFR
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